The much-awaited Orkla India IPO opened for subscription today, October 29, 2025, drawing keen attention from investors and market observers alike. The public issue, which will remain open until October 31, has already created excitement in the grey market, where shares are trading at a premium of ₹108 over the upper price band.
The company has set its price band at ₹695–₹730 per equity share, aiming to raise ₹1,667.54 crore through a 100% Offer for Sale (OFS). The IPO is proposed to list on both BSE and NSE.
Grey Market Premium (GMP) Signals Optimism
According to market analysts, the Orkla India IPO GMP today stands at ₹108, indicating strong early sentiment despite the overall cautious tone in broader markets.
If the bullish trend on Dalal Street continues, experts believe this premium could increase further, signaling healthy listing expectations.
Subscription Status on Day 1
By 12:30 PM on the opening day, the IPO was subscribed 0.40 times, showing moderate participation so far.
- Retail investors subscribed 0.53 times of their portion.
- Non-Institutional Investors (NII) booked 0.61 times.
Market participants expect momentum to pick up on the second and third days as institutional and retail demand typically intensifies toward the closing window.
IPO Structure and Key Details
- Price Band: ₹695 – ₹730 per share
- Issue Size: ₹1,667.54 crore (entirely OFS)
- Lot Size: 20 shares per lot
- Allotment Date: Likely on November 1, 2025 (or November 3 in case of delay)
- Registrar: KFin Technologies
- Listing Date: Expected on November 6, 2025
- Lead Managers: ICICI Securities, Citigroup Global Markets India, JP Morgan India, and Kotak Mahindra Capital
About Orkla India
Orkla India Limited, a subsidiary of Norway-based Orkla ASA, owns some of India’s most trusted brands — MTR and Eastern. Together, these brands hold a 31–42% market share in key southern states and nearly 18.6% share nationwide in the convenience foods segment.
The company offers a diversified portfolio of over 400 products, spanning spices, instant mixes, and packaged foods. It also has a strong export presence, with Eastern recognized as India’s largest branded spice exporter for 24 consecutive years.
Analysts’ Take: Subscribe for Long-Term Gains
According to Rajan Shinde, Research Analyst at Mehta Equities, Orkla India presents “a solid opportunity to participate in a market-leading packaged food and spice business backed by strong brands and deep regional dominance.”
He added that the company’s asset-light model, flexible manufacturing capacity exceeding 182,000 TPA, and expanding presence in the GCC, US, and emerging Asian markets offer scalability and cost-efficient growth.
“At the upper price band of ₹730, Orkla India’s valuation of ₹10,000 crore and PE of 31.7x seems reasonable given its brand leadership and strong fundamentals,” Shinde noted.
He recommends investors to ‘Subscribe’ for the long term, while highlighting the 100% OFS as a key watchpoint.
Expert Caution: Fully Priced but Fundamentally Strong
On the other hand, Avinash Gorakshkar, a SEBI-registered analyst, advised a more cautious approach.
He said, “The company’s fundamentals are sound, but the fact that the IPO is a complete OFS might deter some investors. Valuations are fully priced; however, positive market sentiment could drive short-term listing gains.”
He suggested that investors with high risk appetite may consider applying, while conservative investors may prefer to wait for post-listing stability.
Final Verdict: A Balanced Bet with Long-Term Promise
The Orkla India IPO combines strong brand strength, solid fundamentals, and reasonable valuation metrics — balanced by the caution of a 100% Offer for Sale structure. While short-term listing gains are possible, the issue looks more attractive from a long-term investment perspective, especially for those betting on India’s fast-growing packaged food sector.
Key Highlights
- Orkla India IPO GMP: ₹108 (premium)
- Subscription (Day 1): 0.40x overall
- Price Band: ₹695–₹730 per share
- Issue Size: ₹1,667.54 crore (OFS)
- Analyst View: “Subscribe for long-term” — Mehta Equities
- Listing Date: November 6, 2025
- Market Sentiment: Cautiously optimistic
Summary:
The Orkla India IPO opened to a positive response with a healthy ₹108 grey market premium and moderate Day 1 subscription. Backed by the power of MTR and Eastern brands, strong export presence, and promising market leadership, experts view it as a steady long-term bet. However, investors should consider the 100% OFS structure and fair valuations before applying.