DayStarter

Market snapshot

Equities: Tuesday close

The Nifty opened almost flat at 24,575. Weak global cues and another rise in oil prices weighed on the market after Iran and the US ruled out an immediate reopening of the Strait of Hormuz.

The index slipped below 24,500 soon after the open and moved towards 24,470 to 24,480 during the first hour. It touched an intraday low of around 24,430 near noon.

Trading remained weak during the second half, with the Nifty mostly staying between 24,440 and 24,470. A recovery during the final hour reduced some of the losses. The index closed at 24,471.70, down 0.46%.

The Sensex closed at 78,154.25, down 0.49%.

Sector performance

Pharma was the strongest sector, rising 1.02%. IT gained 0.61%.

FMCG was the weakest sector, falling 1.17%. Realty declined 0.99%, while Metal fell 0.95%.

F&O winners and losers

Zydus Lifesciences was the strongest F&O stock, rising 6.43%. Policybazaar gained 6.32%, while Info Edge rose 6.08%.

Godrej Properties was the biggest loser, falling 3.34%. Vedanta declined 3.05%.

Commodities

Crude oil futures rose 2.35% to ₹7,986.

Gold gained 0.55%, while silver was almost unchanged. Natural gas fell 1.01%.

Base metals moved higher. Aluminium gained 0.89%, copper rose 0.44%, and zinc increased 0.14%.

Currency and bond yields

USDINR rose 0.11% to 95.43.

India’s 10-year government bond yield increased to 6.79 from 6.77.

The US 10-year Treasury yield increased to 4.69 from 4.66.

Institutional flows

Foreign institutional investors bought Indian equities worth a net ₹259 crore on 11 August.

Domestic institutional investors were net buyers of ₹25 crore.

Across the five sessions shown below, FIIs were net buyers of ₹1,753 crore and DIIs were net buyers of ₹5,868 crore.

Macro view

Direct tax collections

India’s net direct tax collections rose 23.09% year-on-year to ₹8.11 trillion between 1 April and 10 August.

Collections were ₹6.59 trillion during the same period last year.

Gross direct tax collections increased 19.75% to ₹9.55 trillion from ₹7.97 trillion.

Within gross collections:

• Non-corporate taxes rose 22.29% to ₹5.41 trillion from ₹4.42 trillion.
• Corporate taxes increased 14.33% to ₹3.80 trillion from ₹3.32 trillion.

The ₹9.55 trillion gross collection represents around 35% of the ₹26.97 trillion budgeted from corporation tax and taxes on income for the full year.

Retail inflation

Retail inflation is expected to have remained around 4.4% in July.

A Mint poll of 20 economists produced estimates ranging from 4.3% to 4.6%.

Core-core inflation, which removes food, fuel and precious metals, was estimated at 2.1% in July, compared with 2% in June.

Official inflation data is due on 12 August.

Fitch keeps India at BBB-

Fitch affirmed India’s sovereign credit rating at BBB-.

The rating agency cited strong economic growth but continued weakness in fiscal metrics.

Fitch expects India’s GDP to grow 6.4% in 2026-27.

It expects inflation of around 4%.

India’s government debt was 84.4% of GDP in 2025-26. The median for countries with similar ratings was 57%.

Urea imports shift towards new suppliers

India imported 2.5 million tonnes of urea during Q1FY27.

Around 52% came from Egypt, Algeria, Nigeria and Georgia.

These countries had supplied none of India’s urea imports during the same period a year earlier.

India imports around 20% of its annual urea requirement.

The country has 33 operating urea manufacturing units with combined capacity of 26.9 million tonnes.

Fertiliser prices and subsidy pressure

Global fertiliser prices rose after the West Asia war began in late February.

The cost of fertiliser increased from around ₹2,900 per 45 kg bag before the war to around ₹4,300 during April and May.

The Fertiliser Ministry proposed almost doubling the FY27 fertiliser subsidy to ₹3.54 trillion from the budgeted ₹1.77 trillion.

The FY26 subsidy bill exceeded ₹2.17 trillion.

Monsoon forecast and fertiliser demand

The India Meteorological Department reduced its 2026 south-west monsoon forecast to 90% of the long-period average from 92%.

The Agriculture Ministry then lowered its estimate of total fertiliser requirements to 38.39 million tonnes from 39.05 million tonnes.

Urea demand was reduced by around 400,000 tonnes to 19 million tonnes.

Diammonium phosphate demand was reduced to 5.62 million tonnes from 5.91 million tonnes.

PM E-Drive support for electric two-wheelers

The Centre extended electric two-wheeler subsidies under the PM E-Drive scheme until FY28.

The allocation for electric two-wheelers increased to ₹2,767 crore from ₹1,772 crore.

The total scheme outlay increased to ₹11,900 crore from ₹10,900 crore.

The subsidy rate remains ₹2,500 per kWh of battery capacity.

The maximum subsidy remains ₹5,000 for each electric two-wheeler.

The final date for claims has been extended to 31 December 2027.

The number of vehicles eligible for subsidies increased to 4.57 million from more than 2.4 million.

Electric two-wheeler sales

Electric two-wheeler sales increased from 252,787 units in FY22 to 1.46 million units in FY26.

Petrol two-wheeler sales fell from 13.2 million to around 11 million during the same period.

Polymer banknote trials

The government approved field trials of one billion polymer banknotes in ₹10 and ₹20 denominations.

The proposal came from the RBI following a recommendation by its Central Board.

A senior official at a large state-owned bank said the plan could create additional costs because ATM cash cassettes may need to be replaced.

No company in India currently manufactures these cassettes.

The official estimated the cost of replacing an ATM at around ₹2 lakh. Replacing only the cash cassettes would cost less.

F&O investor losses

SEBI measures helped reduce individual investors’ net losses in equity derivatives during FY26.

Net losses fell to ₹91,685 crore from ₹1.12 lakh crore in FY25.

The number of unique individual investors trading derivatives declined to 78.6 lakh from 98.1 lakh.

However, the average loss per trader increased to ₹1.16 lakh from ₹1.14 lakh.

Consultancy rules for government contracts

The Centre relaxed eligibility requirements for Indian consultancy firms bidding for government contracts under the Atmanirbhar Bharat initiative.

The changes include lower requirements for:

• Annual turnover.
• Weight assigned to previous experience.
• Minimum payroll staffing.

Some tenders had earlier required annual turnover equal to five to ten times the estimated value of the consultancy assignment.

Tribunals Reform Bill

The Rajya Sabha passed the Tribunals Reform Bill, 2026.

The Lok Sabha had passed it on Monday.

The Bill proposes a National Tribunal Commission with powers to appoint or remove members and chairpersons of 16 tribunals and appellate tribunals.

The covered areas include income tax, electricity, customs and environmental matters.

Foreign investors in commodity derivatives

SEBI proposed widening foreign portfolio investor access to exchange-traded commodity derivatives.

The proposal would allow FPIs to trade non-agricultural commodity index derivatives.

FPIs are currently allowed only in cash-settled non-agricultural commodity derivatives such as crude oil and natural gas contracts.

Foreign investors were first allowed into this segment in June 2022.

Bank frauds

Banks and financial institutions reported 10,114 fraud cases in FY26.

The number of cases fell from 23,722 in the previous year.

However, the total amount involved increased 46.4% to ₹48,021 crore.

AI and cyber risk

An RBI survey found that lenders see AI-enabled cyber threats as their biggest risk over the next 12 months.

The RBI plans to conduct a thematic review of cyber risks created by the use of AI tools by supervised institutions.

It also plans to issue guidelines on digital forensic readiness.

SEBI introduced the Market Security Operations Centre during FY26.

As of 30 March 2026, 376 market participants had joined the two M-SOCs established by the NSE and BSE.

Mint; Commerce Ministry; India Meteorological Department; Vahan; Finance Ministry; RBI annual report

Corporate action and earnings

Siemens India

Siemens India reported Q1FY27 consolidated net profit of ₹2,143 crore, compared with ₹423 crore a year earlier.

The increase was largely due to ₹1,800 crore of profit from discontinued operations related to its Low Voltage Motors business.

Revenue rose 14.8% year-on-year to ₹4,714 crore.

Underlying profitability faced pressure from higher material costs, commodity-price volatility and foreign-exchange movements.

MRF

MRF’s Q1FY27 consolidated net profit fell 1.3% year-on-year to ₹495 crore.

Higher raw material costs affected profitability.

Revenue from operations rose 9.6% to ₹8,416 crore from ₹7,676 crore.

Zydus Lifesciences

Zydus Lifesciences reported Q1FY27 consolidated net profit of ₹940 crore, down 36% year-on-year.

Revenue increased 22% to ₹8,017 crore.

The company said tax expenses are not directly comparable because of adjustments related to its move to the concessional tax regime.

Expenses increased 41.4%.

Research and development costs rose by more than 32%.

Other operating expenses increased 47.5%.

Godrej Consumer Products

Godrej Consumer Products reported June-quarter consolidated net profit of ₹505 crore, up 12% year-on-year.

Revenue increased 18% to ₹4,225 crore.

Operating profit rose 16% to ₹801 crore from ₹693 crore.

EBITDA margin narrowed to 19% from 19.42%.

Manappuram Finance

Manappuram Finance reported consolidated net profit of ₹585 crore for the June quarter.

The company had reported profit of ₹1.38 crore a year earlier.

Analysts tracked by LSEG had expected ₹513 crore.

Total revenue increased by one-third to ₹3,034 crore.

Bata India

Bata India’s first-quarter profit rose 23% to ₹63.98 crore from ₹52 crore.

Growth was helped by higher-priced footwear and the company’s Sneaker Studio format.

ONGC and Oil India

ONGC’s standalone EBITDAX rose 67% to ₹29,250 crore in Q1FY27.

Oil India’s EBITDAX rose 110% to ₹4,300 crore.

ONGC output fell 3.9% year-on-year to 9.8 million tonnes of oil equivalent.

Oil India’s crude-oil output rose 11% to 0.95 million tonnes.

Crude-oil realisation improved around 50% for both companies:

• ONGC: $99.4 per barrel.
• Oil India: $99.7 per barrel.

Bharat Forge

Bharat Forge’s standalone sales volume increased 8% year-on-year to 66,787 tonnes.

EBITDA per tonne fell 5.4% to ₹87,694 because of higher energy and input costs.

The company reduced FY27 revenue-growth guidance for its Indian manufacturing business to 20% to 25%.

The earlier guidance was 25%.

Kalyani Strategic Systems had an order book of ₹11,196 crore at the end of June.

Multiples looks to invest in Giva

Private equity firm Multiples signed an exclusive agreement to acquire a stake worth $80 million to $100 million in jewellery startup Giva.

The transaction is expected to value Giva at around ₹6,000 crore.

It would include both primary and secondary shares.

Giva raised ₹530 crore in a Series C round led by Creagis in June.

That round valued the company at around ₹4,800 crore.

Accel raises new India fund

Accel announced its ninth India-focused early-stage fund with commitments of $550 million.

The fund comes less than 18 months after Accel closed its previous $650 million India vehicle.

The India fund is part of a $3.5 billion global fundraising programme across four funds.

This includes a $1.35 billion growth fund.

Accel’s eighth India fund still has more than half its capital available.

Brookfield office acquisition

Brookfield India Real Estate Trust and Prime Offices Fund signed binding agreements to acquire 264,000 sq ft of Grade A office space in Mumbai’s Bandra-Kurla Complex.

The enterprise value is ₹1,700 crore.

The deal covers three neighbouring office floors in BKC’s G Block.

The assets will be acquired from Brookfield’s private real estate fund through an equal partnership.

Prime Offices Fund recently completed its final close at ₹4,000 crore.

QIP fundraising

Eight companies raised ₹25,113.97 crore through qualified institutional placements in July.

This was the highest monthly total since July 2025, when five companies raised ₹26,560.02 crore.

July fundraising was almost 48% higher than the ₹16,989.93 crore raised through 10 issues in June.

Adani Enterprises raised ₹15,000 crore.

Adani Energy Solutions raised ₹3,500 crore.

Between January and July 2026, 25 QIPs raised around 73% of the ₹72,639.94 crore raised through 36 placements during all of 2025.

June and July together contributed ₹42,103.90 crore, around 79% of the QIP money raised in the first seven months of 2026.

July alone contributed around 47%.

Prime Database says 136 companies have proposed QIPs worth an estimated ₹2.56 trillion.

SBI acquisition financing

State Bank of India has five to six merger and acquisition financing transactions in its pipeline.

The bank has already completed four to five such deals.

RBI guidelines issued on 13 February allow banks to finance up to 75% of an acquisition.

The draft rules had proposed a 70% limit.

Total bank financing cannot exceed 75% of the acquisition value independently assessed by the lender.

Annual M&A financing is estimated at around $40 billion.

Godrej Consumer leadership change

Sudhir Sitapati resigned as managing director and chief executive of Godrej Consumer Products.

His resignation came shortly after shareholders approved his reappointment for another five years.

GCPL appointed global chief financial officer Aasif Malbari as managing director and CEO for five years from 12 August.

Vishal Kedia was appointed interim CFO.

GCPL’s board recommended Sitapati’s reappointment on 6 May.

Shareholders approved it at the company’s 26th annual general meeting on Friday.

Mahindra Last Mile Mobility

Mahindra Last Mile Mobility is now valued at more than ₹10,000 crore, or $1 billion.

The valuation followed a ₹322 crore fundraising round announced on 30 July.

The round was led by Lightrock with participation from IFC and the India-Japan Fund.

Mahindra & Mahindra has invested around ₹900 crore into the business through equity.

Outside investors have invested another ₹1,322 crore.

Revenue increased from ₹2,367 crore in FY24 to ₹4,798 crore in FY26.

Net profit fell from ₹246 crore in FY25 to ₹185 crore in FY26.

Mahindra Group is preparing to list the company during the second half of 2027.

Sify Infinit Spaces

Sify Infinit Spaces plans to raise up to $4 billion through debt and public markets over the next four years.

Its IPO remains on hold.

The company filed a draft prospectus in October last year to raise ₹3,700 crore at a valuation of ₹37,000 crore.

It had 113 MW of active data-centre capacity as of June last year.

FY25 operating revenue was ₹1,428.4 crore.

Net profit was ₹126.4 crore.

Total debt increased 17% to ₹2,318.2 crore.

Sun Pharma and semaglutide

The Delhi High Court directed Sun Pharma to seek court approval before launching semaglutide tablets.

The direction followed a patent infringement case filed by Novo Nordisk.

In July, sales of semaglutide injections from generic companies were ₹46 crore.

Novo Nordisk’s injection sales were ₹27 crore.

For oral semaglutide:

• Novo Nordisk recorded sales of ₹20 crore.
• Generic tablets recorded sales of ₹11 crore.

Gautam Adani US case

A US district judge dismissed conspiracy, securities fraud and wire fraud charges against Gautam Adani and Sagar Adani with prejudice.

The ruling also includes settlements with the US Securities and Exchange Commission and the US Treasury Department.

Adani Enterprises agreed to pay $275 million to settle a probe by the Office of Foreign Assets Control related to Iran sanctions violations.

Most Adani Group shares rose in Mumbai.

Adani Enterprises gained as much as 2.3%.

Trump Towers Hyderabad

Tribeca Developers and Ira Realty will develop Trump Towers Hyderabad in Kokapet.

The project will have two 65-storey towers.

The towers will rise 242 metres.

The development covers four acres and 2.2 million sq ft.

It will contain more than 450 homes.

Prices are expected to range from ₹5.3 crore to ₹18 crore.

The project has 16 penthouses.

Eight have already been sold.

Café Niloufer fundraising

ABR Cafe & Bakers, which operates Café Niloufer, is working with PwC and The Rainmaker Group to explore external fundraising.

The transaction could value the company at around ₹1,500 crore to ₹1,800 crore.

This would equal roughly four to five times forward revenue.

FY25 operating income rose to ₹205.7 crore from ₹140.1 crore.

Net profit increased to ₹7.8 crore from ₹6.5 crore.

L&T and rare earth magnets

Larsen & Toubro plans to manufacture rare earth magnets in India.

The company is preparing a bid under the government’s ₹7,280 crore incentive scheme for rare earth magnets.

Coal India is separately considering the acquisition of a unit of Canada’s Wealth Minerals that owns lithium assets in Chile.

Goldman Sachs India investment banking

Goldman Sachs appointed former JPMorgan executive Chandresh Chheda as managing director and co-head of India investment banking.

India represented around 8% to 10% of global equity-capital-market activity during 2024 and 2025.

Historically, its share had been around 3% to 4%.

India’s M&A activity reached a record $177 billion in 2023.

Raymond Lifestyle exports

Raymond Lifestyle expects Europe to account for around one-quarter of its exports within two years.

Before US tariffs:

• The US represented 65% of exports.
• Europe represented 17%.

The company expects:

• The US share to fall to 55% to 60%.
• Europe’s share to rise to 20% to 25%.

Exports represented one-fifth of company revenue in FY26.

Mutual fund flows

Large-cap equity funds recorded net outflows of ₹1,321 crore in July.

This was their first monthly net outflow in almost three years.

Small-cap funds received ₹7,767 crore.

Mid-cap funds received ₹6,192 crore.

Overall net inflows into equity mutual funds fell 15.7% to ₹24,685 crore in July.

LEAP India IPO

LEAP India’s ₹2,480 crore IPO was subscribed 8.38 times on the final day.

Investors bid for 96,32,60,770 shares against 11,49,91,735 shares on offer.

Subscription by category was:

• Qualified institutional buyers: 16.84 times.
• Non-institutional investors: 12.64 times.
• Retail investors: 1.71 times.

The price band was ₹151 to ₹159 per share.

The company raised ₹743.62 crore from institutional investors before the issue.

Milky Mist IPO demand

Milky Mist Dairy Food’s ₹1,553 crore IPO was subscribed 79% on its first day.

Investors bid for 64,753,190 shares against 81,798,244 shares available.

Subscription by category was:

• Retail: 96%.
• Non-institutional investors: 92%.
• Qualified institutional buyers: 39%.

The IPO closes on 13 August.

The price band is ₹133 to ₹140 per share.

Zerodha AfterMarket Report; Mint; Nomura Global Markets Research; Reuters; Bloomberg; Dealogic; Pharmarack; AMFI; NSE

Upcoming events

Economic calendar

Earnings calendar: 12 August 2026

Corporate actions: 12 August 2026

Global pulse

Global markets

Global markets were mixed.

The Nasdaq 100 gained 0.28%.

The S&P 500 and Dow Jones ended slightly lower.

The Shanghai Composite fell 0.82%, while the Hang Seng declined 1.10%.

Crude oil and the Strait of Hormuz

Crude oil gave up part of its earlier gains and traded around $82 per barrel after Qatar said negotiations between Oman and Iran were at an advanced stage.

This raised hopes that an agreement over the Strait of Hormuz could move forward.

However, new demands from US President Donald Trump complicated the talks.

Oil flows through Hormuz remain sharply lower

Persian Gulf energy producers are increasingly working on the assumption that Iran’s control over the Strait of Hormuz may become permanent.

Officials in Gulf countries see the proposed agreement as preferable to renewed military conflict between the US and Iran.

Crude-oil exports through the strait fell to around 2.2 million barrels per day last week.

They had been around 8.5 million barrels per day one month earlier.

Iranian exports fell by half in one week to 47,000 barrels per day.

Before the conflict, around 20 million barrels per day of oil and petroleum products moved through the strait.

Oil inventories and attacks

Brent crude futures were trading around $87 per barrel on Monday.

Global oil inventories fell by more than 400 million barrels over the previous six months.

The UAE said four of its ships were attacked by Iran while trying to pass through the strait last week.

Between 28 February and 30 July, Iran and allied militias in Iraq carried out at least 172 attacks on non-military infrastructure across the six Arab Gulf states.

Houthi attack in Bab el-Mandeb

Four crew members were killed in an attack by Iran-backed Houthi militants on a small cargo ship in the Bab el-Mandeb strait.

The dead included three Pakistanis and one Indonesian.

If confirmed, these would be the first deaths in a Houthi attack on shipping since the Iran war began on 28 February.

Separately, the Panama-flagged container ship Vela Nova was hit by a missile off Pakistan while travelling towards the Gulf of Oman.

Aluminium

Aluminium futures rose to $3,380 per tonne.

This was their highest level in almost two months.

The move reflected concerns about tighter supply after Brazil’s Alunorte plant cut production to half capacity because of a natural-gas shortage.

Nvidia financing platforms

Nvidia partnered with six large financial institutions to create financing platforms for AI infrastructure.

The platforms aim to mobilise more than $500 billion in third-party capital.

CEO Jensen Huang said Nvidia has the option to provide up to $125 billion, or 25% of potential transactions.

Intel raises $20 billion

Intel raised $20 billion through an enlarged share offering.

The company had originally planned to raise $15 billion.

The money will help fund expansion of Intel’s contract chip-manufacturing business.

Shares were sold at $95 each.

This was a 2.6% discount to the previous closing price.

China vehicle market

Domestic car sales in China fell for a tenth consecutive month in July.

Sales declined 21.1% year-on-year to 1.47 million vehicles.

Exports increased 88.2% to 923,000 units.

Anthropic IPO plans

Anthropic is meeting potential investors ahead of a possible public listing in September or early October.

The company was described as a $965 billion artificial-intelligence business.

In May, Anthropic said annualised revenue had exceeded $47 billion earlier that month.

OpenAI is expected to follow with an IPO that could take place as late as next year.

Elon Musk’s Tesla compensation

A sentence in the fifth page of Tesla’s 16-page 2025 CEO Performance Award Agreement says half of Elon Musk’s performance targets would effectively be considered achieved if Tesla were acquired or taken over.

Musk’s potential payout of $1 trillion in stock would now be limited to around $824 billion because Tesla has more shares outstanding than when shareholders approved the plan.

H-1B visa costs

The new fee for H-1B visa extensions under US immigration rules is $4,000.

This raises costs for large employers where more than half of staff depend on visas.

Anthropic and Riot Platforms

Anthropic signed a 20-year agreement with Riot Platforms worth $9.1 billion.

The deal secures 191 MW of AI data-centre capacity in Texas.

Zerodha AfterMarket Report; Mint; Dow Jones; Kpler; Armed Conflict Location and Event Data; Reuters

Management commentary

Zerodha AfterMarket Report; Mint

Feature: Milky Mist Dairy Food IPO

The ₹1,553 crore offer

Milky Mist Dairy Food opened its three-day IPO on 11 August.

The Erode-based company focuses on value-added dairy products.

The book-built issue totals ₹1,553 crore.

It includes:

• Fresh issue: ₹1,428 crore.
• Offer for sale: ₹125 crore.
• OFS shares: Up to 89,28,570 equity shares.

Price band and dates

The price band is ₹133 to ₹140 per share.

The lot size is 107 shares.

At the upper end of the price band, the minimum retail investment is ₹14,980.

Bidding opened on 11 August and closes on 13 August.

Allotment is expected to be completed on 14 August.

Listing on the BSE and NSE is tentatively scheduled for 18 August.

Investor allocation

The issue is divided as follows:

• Qualified institutional buyers: 50%.
• Non-institutional investors: 15%.
• Retail investors: 35%.

JM Financial, Axis Capital and IIFL Capital Services are the book-running lead managers.

KFin Technologies is the registrar.

At the upper end of the price band, the company is expected to have a post-issue valuation of around ₹10,778 crore.

Anchor investors

Milky Mist allotted 3,32,35,713 shares to 19 anchor investors on 10 August.

The anchor book raised approximately ₹465.29 crore.

The shares were allotted at ₹140 each, including a share premium of ₹138 per share.

Domestic mutual funds received 1,53,78,056 shares.

This represented 46.27% of the anchor allocation.

Nine mutual funds participated through 13 schemes.

The anchor investors included Zulia Investments, a subsidiary of Temasek, and the International Finance Corporation.

Zulia received the largest allocation at 1.14 crore shares.

This represented 34.39% of the anchor portion and was worth around ₹160 crore.

Other named anchor investors included:

• Nippon MF
• HDFC MF
• ICICI Prudential MF
• 360 One
• White Oak
• Invesco MF
• Motilal Oswal MF
• Edelweiss MF
• HSBC MF
• Trust MF
• Union Small Cap Fund
• Public Sector Pension Investment Board, IIFL Asset Management
• India Acorn Fund

Day-one subscription

The IPO was subscribed 0.79 times overall by the end of day one.

Subscription by category was:

• Retail: 0.96 times.
• Non-institutional investors: 0.92 times.
• Qualified institutional buyers: 0.39 times.

Within the non-institutional category:

• Big HNI: 0.60 times.
• Small HNI: 1.56 times.

At 12 pm on 11 August, the issue had been subscribed 0.26 times.

Investors had bid for 21.62 million shares against 81.80 million shares offered.

At that point, QIBs had bid for 4,494 shares against 23.32 million reserved.

The employee portion was subscribed 0.96 times.

Grey market premium

IPO Guru reported a grey market premium of ₹21 on 11 August.

IPO Central reported a premium of ₹24 on the same day.

The premium had ranged from ₹24 to ₹28 during the previous few days.

The grey market is unofficial and unregulated.

These premiums are not published by the stock exchanges and do not guarantee the eventual listing price.

The business

Milky Mist operates a farm-to-retail model from Perundurai in Erode, Tamil Nadu.

The company was incorporated in July 2014.

Its portfolio covers 22 product categories and more than 640 SKUs.

Products include:

• Paneer
• Cheese
• Curd
• Butter
• Ghee
• Yoghurt
• Ice cream
• UHT products

The company sells products under the Milky Mist brand and the sub-brands SmartChef, Capella and Misty Lite.

Between April 2022 and March 2026, it introduced 538 new SKUs.

These products generated ₹883.67 crore of revenue in FY26.

Milk procurement network

As of 31 March 2026, Milky Mist bought milk directly from 74,654 farmers.

The network covered 25 districts across:

• Tamil Nadu
• Andhra Pradesh
• Karnataka
• Maharashtra

The company operated:

• 3,907 automated milk-collection units.
• 29 chilling centres.

Installed capacity

Market position

Milky Mist held around 19% of India’s organised packaged paneer market in FY26.

It also held:

• Around 12% of the organised cheese market in South India.
• 7% of the organised curd market in South India.
• 13% of India’s organised yoghurt market.

DairyDimension reported that Milky Mist is the third-largest private packaged cheese company in India, with around 5% market share by value.

It also estimated the company’s share of India’s organised Greek yoghurt market at 35% to 40% by value.

The company was among the first private dairy businesses in India to introduce branded packaged paneer.

Its premium positioning allows it to charge around 10% to 30% more than large Indian brands.

Around 70% of company revenue comes from South India.

Financial performance

Revenue from operations increased from ₹1,821.61 crore in FY24 to ₹3,138.36 crore in FY26.

Profit after tax increased from ₹19.44 crore to ₹127.01 crore during the same period.

Revenue grew 33.6% in FY26.

Net profit increased 175.7% year-on-year.

Realisation per litre of milk increased from ₹65.9 in FY24 to ₹77.8 in FY26.

FY26 total income was ₹3,145.01 crore.

EBITDA increased to ₹435.22 crore from ₹310.35 crore in FY25.

Growth rates

SBI Securities reported compound annual growth from FY24 to FY26 of:

• Revenue: 31.3%.
• EBITDA: 40.5%.
• Profit after tax: 155.6%.

SBI Securities reported an FY26 EBITDA margin of 13.7%.

This was 70 basis points higher than a year earlier and 180 basis points above FY24.

Volume and product mix

Milk procurement increased 45% between FY24 and FY26.

Revenue per litre increased 18%.

Volume grew at 20.5% annually.

Realisation grew at 8.6% annually.

Paneer contributes 29.4% of revenue.

Paneer, cheese and curd together account for 59% of revenue.

Growth versus listed dairy companies

Milky Mist’s FY26 revenue grew 33.6%.

Comparable growth rates were:

• Dodla Dairy: 10.9%.
• Parag Milk Foods: 11.2%.
• Hatsun Agro: 14.5%.

Milky Mist’s distributor network expanded 56% in two years.

Use of IPO proceeds

The company plans to use the fresh issue proceeds for:

• Repaying debt.
• Capital expenditure to modernise its Perundurai facility.
• Installing visi coolers and ice-cream freezers.
• General corporate purposes.

The company plans to repay around ₹497 crore of debt.

Another source puts the planned repayment at ₹496.86 crore.

Total borrowings were ₹1,671.85 crore.

Net worth was ₹378 crore.

Contingent liabilities

Milky Mist had contingent liabilities of ₹229.01 crore as of 31 March 2026.

These included:

Debt and other risks

Milky Mist had a debt-to-equity ratio of 3.61 times in FY26.

Total debt increased from ₹1,036.7 crore in FY24 to ₹1,671.9 crore in FY26.

The debt-to-equity ratio had been 4.20 times in FY25.

Several brokerages identified leverage and ₹229 crore of contingent liabilities as important risks.

Value Research reported that the company has not fully funded its growth through internally generated cash.

Return on capital employed is below 12%.

The company also has internal control weaknesses.

After interest, depreciation and tax, only around 4% of FY26 revenue becomes profit.

Over two years:

• EBITDA margin improved from 12.2% to 13.9%.
• Operating EBIT margin improved from 6.0% to 8.2%.

Valuation

At the upper price band of ₹140, SBI Securities valued the IPO at around 84.9 times FY26 post-issue earnings.

Value Research estimated the company’s valuation at around ₹10,778 crore.

This is almost 85 times FY26 profit.

Excluding an earlier tax credit, the multiple rises to around 105 times profit.

Brokerage views

Broker recommendations included:

• BP Equities: Subscribe.
• SBI Securities: Subscribe.
• Anand Rathi: Subscribe, Long Term.
• SMIFS: Subscribe for the long term.
• Sushil Financial Services: Subscribe for the long term.
• Swastika Investmart: Neutral.

Anand Rathi noted that the IPO appears fully priced at the upper end of the band.

Dairy-sector backdrop

India’s value-added dairy-products market is growing at a compound annual rate of 12.1%.

It is expected to reach ₹10 lakh crore by FY31.

India’s packaged-food market was worth ₹15.8 trillion in FY26.

It is projected to grow at 10.6% annually through FY31.

Dairy represented almost 76% of the packaged-food market in FY26.

India’s overall dairy market is expected to increase from ₹12.0 trillion in FY26 to ₹19.6 trillion by FY31.

Business Standard; Value Research Online; Business Today; Groww; Upstox; Paytm Money; Outlook Money; IPO Guru; IPO Central; IPO Watch; India IPO; Chanakya Nipothi; DairyDimension; SBI Securities; Value Research; 1Lattice

Closing note

DayStarter is compiled from the Zerodha AfterMarket Report for the 11 August 2026 close and the Mint Mumbai print edition dated 12 August 2026. The feature on the Milky Mist Dairy Food IPO uses Business Standard, Value Research Online, Business Today, Groww, Upstox, Paytm Money, Outlook Money, IPO Guru, IPO Central, IPO Watch, India IPO, Chanakya Nipothi and DairyDimension. Aggregated from published reports. This brief is for information only and is not investment advice.