Orkla India IPO Fully Subscribed On Day Two: Latest GMP And Expected Listing Price
The initial public offering of Orkla India Ltd., the owner of spices and condiments brands MTR and Eastern, was fully subscribed on its second day of bidding on Thursday. Demand has been led by non-institutional investors, with the Orkla India IPO seeing a tepid response on its launch day.
About Orkla India Ltd.
Orkla India is a multi-category food company deeply rooted in the South Indian culinary. It manufactures products such as spices and masalas, ready-to-eat sweets, and breakfast mixes under prominent brands such as MTR, Rasoi Magic, and Eastern and has a portfolio of over 400 products across these categories. To learn more about the company’s products and services, visit the MTR products page.
IPO Details
The Rs 1,668-crore IPO saw a tepid response on its launch day. The public issue consists of only an offer for sale of shares. Promoter Orkla Asia Pacific, along with public shareholders Navas Meeran and Feroz Meeran, will participate in the OFS. Since it is an OFS, the company will not receive any proceeds from the IPO, and the entire amount of money will go to the selling shareholders.
The company raised nearly Rs 500 crore from anchor investors on Tuesday, including Nippon Life India and Nomura. The allotment of shares to IPO investors will be done tentatively on Nov. 3. Orkla India will list on the BSE and NSE on Nov. 6. For more information on the IPO allotment process, visit our website.
Valuation And Analyst Recommendations
At the upper price band, the company is valuing at price-to-earnings of 31.5 times to its FY26 annualized earnings. Analysts at Anand Rathi Research said the Orkla IPO is fully priced and recommend a ‘Subscribe-Long Term’ rating to the IPO. ICICI Securities Ltd., Citigroup Global Markets India Pvt., J.P. Morgan India Pvt., and Kotak Mahindra Capital Co. are the lead book-running managers to the IPO. To learn more about the IPO valuation process, visit our website.
IPO Subscription Status
The Orkla India IPO has been subscribed 113% as of 10:35 a.m. Qualified Institutional Buyers (QIBs): 2%, Non Institutional Investors (NIIS): 2.5 times, Retail Individual Investors: 118%, Employee Reserved: 4.2 times.
Latest GMP And Expected Listing Price
According to InvestorGain, the latest GMP for the Orkla India IPO stood at Rs 68. With an upper price band of Rs 730 per share, the estimated listing price is likely to be Rs 798, as per the latest GMP. This implies an expected listing gain of 9% per share. Note: GMP does not represent official data and is based on speculation. To learn more about the GMP updates, visit our website.
Conclusion
The Orkla India IPO has been fully subscribed on its second day of bidding, with non-institutional investors leading the demand. The company’s valuation and analyst recommendations suggest that the IPO is fully priced, but the expected listing gain of 9% per share may attract investors. To stay updated with the latest Indian stock market news, visit our website.