HYDERABAD: Dodla Dairy , a listed Hyderabad-based dairy player, has acquired 100% stake in Jharkhand-based Osam Dairy for a cash consideration of Rs 271 crore.
The transaction, which is based on an enterprise value of Rs 247 crore and net cash of Rs 23.8 crore, is expected to be completed in one or two months from the date of signing the share purchase agreement (SPA), Dodla Dairy said.
Dodla Dairy managing director Dodla Sunil Reddy said the strategic move marks a milestone in the company’s journey to become a pan-India dairy player.
“As a market, eastern India is a very exciting market for the dairy industry with faster growth as compared to the national average. This market supports a large population, and milk consumption has immense headroom for growth driven by high urbanisation potential and strong GDP growth,” he said.
The deal will enable the Hyderabad-based dairy player to expand its footprint in the eastern market, achieve significant operational synergies and fuel its long-term growth plan, Dodla Dairy’s CEO BVK Reddy said in a business update conference call, as per a BSE filing.
Reddy said OSAM, which has a presence in Bihar and Jharkhand and other nearby regions, has a product basket including milk and value-added products like curd, lassi, paneer, sweets, ghee and other related products that aligns well with Dodla’s product portfolio and will create a high synergy when it comes to strategic diversification.
“The acquisition will enhance our milk procurement and processing capabilities as well as farmer network in the eastern region. Their procurement network of over 25,000 farmers is spread across Bihar, Jharkhand, and West Bengal. In terms of infrastructure, they have more than 1,000 collection centres, 19 chilling centres, and two operational plants as of 31st March 2025. Their average daily milk procurement is 1.1 lakhs per day,” he said.
While Dodla Dairy clocked revenues of Rs 3720 crore in financial year 2024-25, Osam Dairy, which is promoted by Abhinav Shah and Harsh Thakkar, recorded revenues of Rs 283 crore during the same period.
The transaction, which is based on an enterprise value of Rs 247 crore and net cash of Rs 23.8 crore, is expected to be completed in one or two months from the date of signing the share purchase agreement (SPA), Dodla Dairy said.
Dodla Dairy managing director Dodla Sunil Reddy said the strategic move marks a milestone in the company’s journey to become a pan-India dairy player.
“As a market, eastern India is a very exciting market for the dairy industry with faster growth as compared to the national average. This market supports a large population, and milk consumption has immense headroom for growth driven by high urbanisation potential and strong GDP growth,” he said.
The deal will enable the Hyderabad-based dairy player to expand its footprint in the eastern market, achieve significant operational synergies and fuel its long-term growth plan, Dodla Dairy’s CEO BVK Reddy said in a business update conference call, as per a BSE filing.
Reddy said OSAM, which has a presence in Bihar and Jharkhand and other nearby regions, has a product basket including milk and value-added products like curd, lassi, paneer, sweets, ghee and other related products that aligns well with Dodla’s product portfolio and will create a high synergy when it comes to strategic diversification.
“The acquisition will enhance our milk procurement and processing capabilities as well as farmer network in the eastern region. Their procurement network of over 25,000 farmers is spread across Bihar, Jharkhand, and West Bengal. In terms of infrastructure, they have more than 1,000 collection centres, 19 chilling centres, and two operational plants as of 31st March 2025. Their average daily milk procurement is 1.1 lakhs per day,” he said.
While Dodla Dairy clocked revenues of Rs 3720 crore in financial year 2024-25, Osam Dairy, which is promoted by Abhinav Shah and Harsh Thakkar, recorded revenues of Rs 283 crore during the same period.
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