Orkla India IPO: MTR Foods owner files DRHP with SEBI. Details here

Synopsis

Orkla India, known for brands like MTR, has filed for a full OFS IPO involving 2.28 crore shares. The company reported robust financial growth with strong margins and efficient operations, targeting India’s booming packaged food market.

Orkla India, the company behind popular spice and condiment brand MTR, has filed its draft red herring prospectus (DRHP) with Sebi to launch an initial public offering (IPO). The issue will be a complete offer for sale (OFS) of 2.28 crore equity shares by the promoter and existing shareholders.

Orkla India IPO: selling shareholders

As part of the OFS, shares will be sold by promoter Orkla Asia Pacific Pte, along with shareholders Navas Meeran and Feroz Meeran. Currently, the promoters — Orkla Asia Pacific Pte Ltd and Norwegian industrial investment firm Orkla ASA — collectively hold a 90% stake in the company. The promoter entity is expected to offload 20,560,768 equity shares in the company.

Navas Meeran and Feroz Meeran hold 5% stake each. Both promoters have offered 1,141,118 equity shares, each.

About Orkla India
Orkla India, formerly known as MTR Foods, is a multi-category Indian food company that offers a range of products including spices, masalas, ready-to-eat sweets, and breakfast mixes under brands such as MTR, Rasoi Magic, and Eastern. According to a Technopak report, the Indian packaged food market was estimated at Rs 10.18 lakh crore in FY24, growing at a CAGR of 10.8% from FY19.

Orkla India financials
Company's revenue from operations for FY25 stood at Rs 2,395 crore. The revenue CAGR between 2022-25 stood at 9.2% while the EBITDA CAGR is at 18.6%. The PAT CAGR in the same period stood at 30%. The PAT margin is 11%. The ROCE is at 32.7% while its working capital days stood at 21 days.

Orkla India IPO lead managers

The book-running lead managers to the issue are ICICI Securities, Citigroup Global Markets India, JP Morgan India, and Kotak Mahindra Capital Company.

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