Milkfood to sell Moradabad plant land to Bareilly Dairies for Rs 130 crore

Key Highlights

• Milkfood said proceeds will primarily reduce outstanding debt and meet operational requirements.
• About Rs 80 crore will go towards repaying existing borrowings, while around Rs 17 crore will cover plant overheads and operational expenses.
• “This transaction forms part of a comprehensive reorganisation and restructuring plan aimed at consolidating operations and repaying lender dues,” Managing Director Sudhir Avasthi said.
• The company is evaluating expansion into higher-margin dairy segments, including plans for an ice cream manufacturing facility in the Delhi-National Capital Region and potential growth in the cheese and butter segments, it said.
• Bareilly Dairies, incorporated under the Companies Act, 2013, is not related to Milkfood’s promoter, promoter group or group companies, the statement added.