Private dairy Milky Mist Dairy Food has announced its diversification into daily need consumer fresh food industry. It has been done through acquisition of Asal Foods Industries, for an undisclosed sum. Milky Mist’s CMD Sathish Kumar says, “We expect a 10% revenue share through this acquisition of Asal Foods (Milky Mist earns Rs 1,000 crore as yearly revenues). We want to take advantage of our strong supply chain management, with over 15,000 freezers across the country. With onboarding Asal Foods, we expect the average revenue per freezer to grow by 3x.”
Milky Mist overall revenue crossed Rs 1,000 crore as of March 30, 2021. It saw a 30% year-on-year growth in FY21. “We have been growing by an average of 40% every year,” he said. Started in 2012, Asal Foods manufactues ready to cook and everyday consumption products like idly dosa batter, chapathi, vada batter, wheat parotta. Milky Mist will retain the ‘Asal’ brand.
“We see synergies only in the distribution channel. The biggest challenge faced by Asal was single product distribution, especially a product like batter which is of less value. And we have a strong cold chain distribution,” he added. TNN
Source : Times of India June 8,2021 by Mamtha Asokan