Lucknow-based CP Milk & Food Products is in early-stage discussions to sell a 10–15% stake to private equity investors, in a deal that could value the company at ₹2,500–3,000 crore, marking its first external fundraising round. The company is aiming to raise approximately ₹300–400 crore, which will be used to expand its geographical presence and product portfolio, with O3 Capital appointed as the advisor for the transaction.
Founded in 2007 by C.P. Agarwal and operating under the ‘Gyan’ brand, CP Milk has emerged as the largest private dairy in eastern Uttar Pradesh and ranks among the top three brands in fresh milk and dairy products in the region. The company sources milk from around 2,700 villages across six districts and has built a strong distribution network with over 35,000 retail outlets and 500+ distributors.
CP Milk operates four manufacturing units in Uttar Pradesh with a total processing capacity of 1.75 million litres per day, producing a wide portfolio including SMP, butter, ghee, paneer, lassi, dahi, chaach, khoya, and sweets. Financially, the company reported ₹1,773.35 crore revenue in FY25 (up from ₹1,581.04 crore in FY24), with profit rising to ₹20.58 crore from ₹12.11 crore, and is expected to reach ₹1,800–2,000 crore revenue in FY26.
The fundraising comes amid a broader trend of family-owned Indian food and dairy businesses tapping private capital to accelerate growth, professionalize operations, and prepare for succession.With India’s dairy market valued at around ₹18,975 billion in 2024 and shifting toward value-added products, CP Milk’s move signals increasing investor interest in scalable regional dairy players.
Source: Dairynews7x7 28 April, 2026 Read full story here
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