Orkla India LTD IPO

Company Overview:

Incorporated in 1996, Orkla India Limited is a leading Indian food company offering a wide range of products spanning breakfast, snacks, beverages, ready meals, and desserts.The company owns some of India’s most trusted heritage food brands, including MTR Foods, Eastern Condiments, and Rasoi Magic, each known for authentic regional flavours and household presence.

Flagship Brands:

1. MTR Foods – Instant mixes, ready-to-eat meals, masalas, breakfast mixes, snacks, and beverages including spices, ready-to-cook and ready-to-eat foods, and vermicelli.

2. Eastern Condiments – A prominent brand offering premium spices and convenience foods.

3. Rasoi Magic – Ready-to-cook spice mixes catering to the quick-meal segment.

Market Presence:

• The company has a strong footprint in southern India with leading positions in Karnataka, Kerala, Andhra Pradesh, and Telangana.

• It exports products to over 42 countries, including GCC nations, the United States, and Canada.

• As of June 30, 2025, Orkla India offered more than 400 products and sold an average of 2.3 million units daily in FY25.

• It owns nine manufacturing facilities across India with a total installed capacity of 182,270 tonnes per annum, complemented by contract manufacturing in the UAE, Thailand, and Malaysia.

• The company maintains a wide distribution network of 834 distributors and 1,888 sub-distributors across 28 states and 6 union territories.

Strength:

• Category leader in packaged spices with strong brands, deep local understanding, and scalable distribution.

• Diversified food portfolio covering multiple segments such as spices, ready meals, and convenience foods.

• Proven innovation and product development capabilities with frequent trend-led launches.

• Extensive distribution network across traditional retail, modern trade, e-commerce, and exports.

• Advanced and flexible manufacturing facilities ensuring efficiency, automation, and quality control.

• Strong parent backing from Orkla ASA (Norway), providing global expertise in food manufacturing and marketing.

• Consistent financial performance with revenue growing from ₹21,724.8 million in FY23 to ₹23,947.1 million in FY25.

• Capital-efficient business model with sustainable growth and profitability.

• Expanding international reach with growing export contribution.

Risk and Weakness:

• High exposure to raw material and packaging cost fluctuations, which made up 56.8% of total expenses in FY25.

• Any lapse in product quality, contamination, or improper storage may lead to regulatory and reputational setbacks.

• Dependence on key suppliers for raw materials could lead to price volatility or supply chain disruptions.

• Inability to adapt to evolving distribution and digital sales channels may impact market share and profitability.

• Labour shortages, strikes, or increasing wage costs could disrupt production operations.

• Payment delays or defaults by distributors may impact liquidity and cash flows.

• Around 20.6% of sales come from exports; regulatory or operational issues in foreign markets could affect business growth.

• The IPO is entirely an Offer for Sale, meaning proceeds will go to existing shareholders and not to the company for growth or debt reduction.

Orkla India LTD IPO: Key Details

• IPO Dates: 29 – 31 October 2025

• Price Band: ₹695 – ₹730 per share

• Lot Size: 20 shares

• Total Issue Size: ₹1,667.54 crore (Offer for Sale)

• Retail Quota: 35%

• GMP (Only for Information): Around 8%

Allotment Link

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