Orkla India is set to debut on the National Stock Exchange (NSE) and Bombay Stock Exchange (BSE) today, November 6, 2025, after a successful IPO that closed on October 31, 2025. The ₹1,667.54 crore IPO, entirely an offer for sale of 2.28 crore shares, saw significant investor interest, being oversubscribed nearly 49 times.
Market experts are signaling a strong debut for the shares. The Grey Market Premium (GMP) for Orkla India IPO shares is currently around ₹71, suggesting that the shares could list at approximately ₹801 apiece, a premium of 9.73% over the IPO price of ₹730 per share. Another report mentions the GMP at ₹70 as of November 4th, with an estimated listing price of ₹800. Yet another source cites the GMP at ₹72 on the morning of November 4th, estimating the listing price at ₹802, a potential 9.86% gain. However, it's important to note that GMP is volatile and not regulated by stock exchanges or SEBI.
The IPO witnessed strong subscription across all investor categories. The Qualified Institutional Buyers (QIBs) category was subscribed a massive 117.63 times, while the Non-Institutional Investors (NII) segment was subscribed 54.42 times. Retail Individual Investors (RIIs) showed significant interest as well, subscribing 7.05 times.
Orkla India, formerly known as MTR Foods, is a multi-category Indian food company with a portfolio of over 400 products across spices and convenience foods. Its popular brands, MTR and Eastern, hold a significant market share, particularly in South India. The company's financial performance in FY25 showcased a revenue of approximately ₹2,455.24 crore and a net profit of ₹255.69 crore.
Prashanth Tapse, Senior VP (Research) at Mehta Equities, anticipates a decent listing gain of around 10-12% on the issue price, despite the IPO being a 100% Offer for Sale (OFS). He believes the strong subscription demand reflects investor confidence in the company's fundamentals and its ability to capitalize on the growing demand for convenience foods.
Orkla India's strengths lie in its strong brand equity, regional flavor expertise, and customized products. It boasts a widespread distribution network and a consistent track record of revenue growth. The company's EBITDA margin rose to 16.6% in FY25, and it maintains a zero-debt status.
However, the company also faces certain risks, including exposure to material price fluctuations, product safety and contamination risks, and heavy revenue concentration in South India.
The IPO price band was set at ₹695 to ₹730 per share, leading to a post-offer valuation of around ₹10,000 crore. This valuation translates to a P/E ratio of 37-39x, which is at a discount compared to Tata Consumer Products but at a premium compared to smaller FMCG peers.
Experts suggest that allottees with a long-term investment perspective should consider holding the stock, while being mindful of inherent market risks.
