Dodla Dairy Ltd., the Hyderabad-headquartered dairy powerhouse, has signed a definitive settlement to amass 100% stake in Jharkhand-based Osam Dairy Pvt. Ltd. for ₹271 crore in an all-cash deal. The transfer marks Dodla’s aggressive push past South India, getting into high-growth markets throughout the japanese states.
A Strategic Leap into Jap India
Dodla Dairy Chairman and Managing Director Sunil Reddy described the acquisition as “a big milestone in Dodla’s journey in the direction of turning into a pan-India dairy firm.” He emphasised that Jap India is an “thrilling market” with sooner progress than the nationwide common, pushed by urbanisation and rising GDP charges.
Osam Dairy, launched in 2012 by founders Abhinav Shah and Harsh Thakkar, runs a vertically built-in dairy enterprise throughout Bihar, Jharkhand, and adjoining states.
The corporate processes about 110,000 litres of milk each day; sources milk immediately from 25,000 farmers; and operates two processing vegetation, 1,000 assortment centres, and 19 chilling centres.
In fiscal 12 months 2024–25, Osam Dairy clocked revenues of ₹283 crore, on an enterprise worth of ₹247 crore and internet money of ₹23.8 crore.
Deal Dynamics & Monetary Phrases
The acquisition implies a internet money payout of ₹271 crore—the construction contains the acquisition of fairness and debt as a part of the enterprise worth settlement.
The method spanned simply over 4 months from the signing of the share buy settlement, reflecting clean negotiations.
Osam’s outgoing promoters and private-equity traders are exiting, marking the tip of a big chapter within the firm’s lifecycle.
Why Dodla Is Bullish
Sunil Reddy sees sturdy synergies between Dodla’s scale and Osam’s regional attain. He stated, “We see super synergies with Osam, which, when mixed with Dodla’s sturdy operational expertise, will allow us to take this to the subsequent stage”.
Dodla’s current infrastructure spans 5 Indian states, 190 chilling vegetation, greater than 60 gross sales workplaces, 2,900+ brokers, and a couple of,100 native distributors. The corporate additionally operates over 839 retail parlours throughout India and maintains a world presence in Uganda and Kenya.
By way of the acquisition, Dodla beneficial properties rapid entry to a big uncooked materials base—a community of over 25,000 Jap farmers—and bolsters its procurement functionality to strengthen supply-side resilience.
A Win-Win for Osam
Abhinav Shah, co-promoter and outgoing CEO of Osam Dairy, praised the deal as the start of a brand new part. “Over the previous decade, we’ve constructed a robust basis, and becoming a member of palms with Dodla will speed up the corporate’s progress,” he stated.
He added that Dodla’s operational experience and nationwide distribution scale will assist Osam drive enlargement sooner. The transition follows a pointy exit strategy of the promoters and PE backers, marking a well-timed handover.
Learn: Most Worthwhile Dairy Franchises in India
Position of Deal Advisors
InCred Capital acted because the unique monetary advisor to Osam Dairy and its shareholders. InCred’s Managing Director Ashish Ambwani celebrated the transaction as a milestone in Jap India’s dairy sector, the place large acquisitions have been “uncommon”.
Broader Trade Development
Consultants see Dodla’s acquisition as proof of investor confidence in Jap India’s dairy sector—a area beforehand underserved by nationwide gamers.
DealStreetAsia echoed the sentiment, calling the transfer “an all-cash deal value roughly $31.5 million” and underlining the strategic intent to fortify Dodla’s footprint within the East.
Analysts imagine this acquisition may spark a collection of consolidations within the Indian dairy house, particularly as smaller regional manufacturers look to scale or exit.
What Lies Forward
Dodla plans to combine Osam’s services into its operational community swiftly. The corporate expects that mixed procurement operations will function a spine to speed up Osam’s progress in Jap markets.
Customers in Bihar, Jharkhand, and West Bengal may quickly see elevated availability of Dodla-branded milk, curd, paneer, and value-added merchandise bolstered by Osam’s regional experience.
Quick Details: Dodla Dairy & Osam Dairy
| Function | Dodla Dairy | Osam Dairy |
| Based | 1995 | 2012 |
| Presence | 5 states, 13 retail, 190 vegetation | Jap India (Bihar, Jharkhand, and many others.) |
| Procurement Community | Giant-scale nationwide community | 25,000 farmers, 1.1 lakh L/day |
| Assortment/ Chilling Centres | 60+ gross sales workplaces | 1,000 assortment, 19 chilling centres |
| Income/FY25 | Consolidated nationwide income | ₹283 crore |
Conclusion
The ₹271 crore acquisition of Osam Dairy marks a calculated, well-timed enlargement for Dodla Dairy, anchored in operational robustness and geographic diversification. With Osam’s sturdy provide chain and Dodla’s nationwide engine, the partnership is well-positioned to drive fast progress in Jap India.
For Dodla, this deal fulfils a strategic ambition to evolve from a regional chief right into a pan-India dairy powerhouse. For Osam, it marks a brand new chapter of accelerated progress below a bigger, extra resource-rich dad or mum.
