Fan Milk PLC was established in  Nigeria in 1961 by Danish merchant and industrialist Erik Emborg with a recombination-plant in Ibadan, a distribution centre in Lagos and less than 30 employees. The plant produced fresh milk from imported milk powder. Initially, the product range was white milk, chocolate milk, cottage cheese and set yoghurt.

In 1970s Fan Milk introduced yoghurt drink, ice lollies, ice cream and new Tetra Pak packaging technology. The new products became very popular in the market and generated the financial strength to set up further depots across the country

At the outset, the foreign partner owned 96% of Fan Milk Plc,  however, when the  Nigerian government introduced The Nigerian Enterprises Promotion Decree in the late 1970s, Fan Milk Plc increased its capital and invited more Nigerians to invest which created a 60%  Nigerian participation in the company and on  5th  October 1995 the Company converted to  a Public Limited Liability Company.

The Company’s current shareholding is  Fan Milk International A/S holding  99.37 %  while Nigerian individual shareholders hold 0.63% shareholding.  The shares are current traded on the NASD platform of the exchange

The last 8  years, the parent  Company undergo a transition with a change in ownership structure. In  November 2013 Abraaj Group  bought over 100% shares of  Fan Milk International A/S, this led to the change in  ownership from the Emborg family.  In April 2014 Danone entered into a partnership  arrangement with Abraaj to acquire 49% stake  while Abraaj held 51%  stake in Fan Milk International, with Danone gradually acquiring a controlling stake in Fan Milk International.

In  September  2019 Danone fully acquired the 100 % controlling shares of Fan Milk International A/ S  thereby making Fan Milk International a fully Danone Company . Danone is a French multinational food-products corporation based in Paris and having three core business areas: Essential Dairy and Plant-Based Products (EDP), Water, Specialized Nutrition: Early Life Nutrition (ELN) and Medical Nutrition.