Orkla India Limited Announces IPO via Offer for Sale
Orkla India Limited has filed its Draft Red Herring Prospectus (DRHP) for an upcoming Initial Public Offering (IPO). This IPO is an Offer for Sale (OFS) of 22,843,004 equity shares. The IPO aims to provide an opportunity for existing shareholders to monetize their investments and for the company to achieve listing benefits on the stock exchanges.
Company Overview
Orkla India: A Leading Multi-Category Food Company
Orkla India is a prominent Indian food company with a rich heritage, offering a wide array of products catering to diverse meal occasions. According to the Technopak Report, Orkla India was among the top four companies in terms of revenue from operations in Fiscal 2024 among select leading spices and convenience food peers. The company’s key product categories include Spices (blended and pure) and Convenience Foods (ready-to-cook, ready-to-eat, and vermicelli).
The company’s MTR and Eastern brands are deeply rooted in South Indian culinary traditions. Orkla India’s brands, MTR and Eastern, have a deep understanding of local flavors and a strong commitment to quality that has resulted in the current scale, particularly in the core markets of Karnataka, Kerala, Andhra Pradesh and Telangana.
Orkla India’s export share of revenue was 18.8%, representing 441.9 million in Fiscal 2024, with a presence in over 40 countries, particularly in the GCC countries, USA and Canada.
Key Achievements
Orkla India has demonstrated significant growth and strong financial performance in recent years. The company has a strong brand presence and a wide distribution network across India and international markets. Orkla India was among the top four companies in terms of revenue from operations in Fiscal 2024 among select leading spices and convenience food peers.
Financial Overview
Here s a snapshot of Orkla India s financial performance for the fiscal year ended March 31, 2025:
| Particulars | Amount ( in Millions) |
|---|---|
| Assets | 3171.30 |
| Revenue | 2394.71 |
| Profit After Tax | 255.69 |
| Net Worth | 2459.50 |
| Reserves and Surplus | 2445.80 |
| Total Borrowing | 0.00 |
Offer for Sale and IPO Structure
The IPO consists entirely of an Offer for Sale of 22,843,004 equity shares. The selling shareholders are Orkla Asia Pacific Pte. Ltd. (up to 20,560,768 Equity Shares), Navas Meeran (up to 1,141,118 Equity Shares), and Feroz Meeran (up to 1,141,118 Equity Shares).
The allocation of shares for different investor categories is as follows:
- Retail Investors: 35%
- Qualified Institutional Buyers (QIB): 50%
- Non-Institutional Investors (NII): 15%
The shares of Orkla India Limited are proposed to be listed on both the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE).
Lead Managers and Registrar
The lead managers for the Orkla India Limited IPO are Icici Securities Limited, Citigroup Global Markets India Private Limited, J.P. Morgan India Private Limited, and Kotak Mahindra Capital Company Limited.
The registrar for the IPO is KFin Technologies Limited.
Conclusion
The Orkla India Limited IPO presents an exciting opportunity to invest in a well-established food company with strong growth potential. Investors are encouraged to stay updated on the IPO dates and other relevant information to make an informed investment decision. Keep an eye out for further announcements regarding the IPO launch date and price band.