Dodla Dairy Ltd. has announced its decision to acquire HR Food Processing Pvt. Ltd., the company behind the Osam brand of milk and dairy products, in a ₹271 crore all-cash deal aimed at strengthening its presence in eastern India.
Following board approval on Friday, the Hyderabad-based dairy major said it will acquire a 100% stake in HR Food Processing. The transaction, expected to be completed within one to two months, includes an enterprise value of ₹247.2 crore and net cash of ₹23.8 crore.
HR Food Processing operates an extensive procurement and distribution network, sourcing from over 25,000 dairy farmers and processing approximately 1.1 lakh litres of milk per day. The company manages 1,000 milk collection centers and 19 chilling centers, and has a strong market footprint across Bihar, Jharkhand, and neighboring states. Its revenue for FY 2024-25 stood at ₹282.6 crore.
“This acquisition aligns with our goal of becoming a pan-India dairy company,” said Dodla Dairy Managing Director Sunil Reddy. “Eastern India presents an exciting opportunity with faster-than-average growth in dairy consumption, driven by high urbanization potential and robust economic growth.”
The move is part of Dodla’s broader expansion strategy, tapping into underpenetrated but rapidly growing regional markets.