MUMBAI, 24 October 2016 : Bangalore based Dairy Classic Ice Creams have raised over $16 million from Motilal Oswal Private Equity (MOPE) for expanding its operations in India.

The dairy in return have offloaded minority states to Motilal Oswal.

The raise capital will be used to expansion in Tamil Nadu and Karnataka, deepening the distribution network and brand building,  MN Jagannath and A Balaraju, directors of Dairy Classic said.

Dairy Classic in manufacturing and selling of ice creams and frozen desserts in Karnataka and has over 15,000 retailers in South India. The company has manufacturing facility near Bengaluru.

During the 2015-16 fiscal year, the company posted a revenue of over $22 million.

Speaking on this, Vishal Tulsyan, CEO of MOPE said that the consumption theme is playing well for private equity funds. Companies with strong brand identity and significant growth potential can provide great returns to financial investors.

Set up in 2003, the dairy is one of the top five ice cream brands in South India and market its product under brand name of Dairy Day.