Orkla India IPO Day 2 LIVE: Issue Subscribed 1.42 Times; GMP Indicates 9% Listing Gains — Should You Apply?

The Orkla India IPO has entered its second day of bidding with a strong investor response. The ₹1,667 crore public issue has been subscribed 1.42 times so far, with grey market trends suggesting a listing premium of around 9%. Despite slight moderation in the GMP, analysts remain neutral to cautiously optimistic about the issue’s prospects.

💰 IPO Details

The Orkla India IPO is an entirely offer-for-sale (OFS) of 2.28 crore equity shares, priced in the range of ₹695–₹730 per share. The issue will close on October 31, 2025, and the shares are slated to list on the NSE and BSE on November 6.

Under the OFS, promoter Orkla Asia Pacific Pte Ltd and shareholders Navas Meeran and Feroz Meeran are offloading their stakes. The proceeds will go entirely to the selling shareholders — the company will not receive any fresh capital.

Orkla Asia Pacific Pte Ltd and Orkla ASA jointly hold 90% of the company, while the Meeran brothers own 5% each.

On the first day of bidding (October 29), the IPO was subscribed 78%, and the company also raised ₹500 crore from anchor investors on Tuesday.

🏭 About Orkla India

Formerly known as MTR Foods, Orkla India is one of India’s leading packaged food manufacturers. The company operates across multiple segments including spices, ready-to-eat meals, sweets, and breakfast mixes, under popular brands such as MTR, Rasoi Magic, and Eastern.

The firm enjoys a strong presence in the South Indian market and is gradually expanding its reach to northern and western regions through product diversification and rural distribution expansion.

📈 Market & Industry Outlook

India’s packaged food market, valued at ₹10,180 billion in FY24, is growing at a 10.8% CAGR since FY19. With rising demand for branded, convenient, and health-focused food products, the segment is witnessing strong investor interest.

India contributes 70% of global spice production and 43% of global spice exports, making Orkla India well-positioned to leverage both domestic and export demand.

The Indian spices market grew at an 11.5% CAGR, reaching ₹1,230 billion in FY24 and is expected to double by FY29. Similarly, the convenience food segment is projected to grow from ₹79 billion in FY24 to ₹166 billion by FY29 — a CAGR of 16%.

💬 Analyst Views

According to Master Capital Services, Orkla India’s strong heritage, brand equity, and distribution network provide a solid long-term investment case.

“With a robust product portfolio, expertise in authentic Indian flavours, and growing rural penetration, Orkla India is well-placed to capitalise on India’s packaged food boom,” the brokerage noted.

“Investors may consider subscribing for the long term, given the company’s potential for steady growth and stable margins.”

However, analysts caution that since the IPO is a pure OFS, investors shouldn’t expect short-term expansion benefits, as no fresh funds will go toward business growth.

📊 Grey Market Premium (GMP)

As of Thursday morning, the Orkla India IPO GMP is hovering around ₹65–₹70, indicating a listing gain of about 9% over the upper price band of ₹730.

While the premium has moderated slightly since launch, it still reflects positive investor sentiment, particularly given the company’s strong brand recall and consistent financial performance.

📅 IPO Snapshot

Particulars Details

IPO Dates October 29 – 31, 2025

Price Band ₹695 – ₹730 per share

Issue Siz e ₹1,667 crore (OFS only)

Listing Date November 6, 2025

GMP (approx.) ₹65–₹70

Expected Listing Gains 8–9%

Analyst View Neutral to Positive (Long-term play)

🧭 Verdict: Should You Apply?

The Orkla India IPO presents a stable long-term opportunity in India’s growing FMCG and packaged food space. With trusted brands like MTR and Eastern, strong distribution, and exposure to high-growth categories, the company is fundamentally sound.

However, since the issue is a complete OFS, short-term listing gains may be moderate. Investors with a long-term horizon and appetite for steady FMCG growth may consider subscribing.