Upcoming IPO: Orkla Foods Files DRHP For IPO

Orkla India, the parent company of spice and food brands MTR and Eastern, has filed a Draft Red Herring Prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) to launch an IPO. 

The proposed issue is entirely an OFS (Offer for Sale) component of 2.28 crore shares by the promoter and other selling shareholders, with no fresh issue. 

The book-running lead managers for the IPO are ICICI Securities Limited, Citigroup Global Markets India Private Limited, J.P. Morgan India Private Limited, and Kotak Mahindra Capital Company Limited.  KFin Technologies Limited is the registrar for the issue. 

In preparation for the IPO, Orkla India has undertaken significant corporate restructuring. In October 2023, the company consolidated its operations into three distinct business units: MTR (ready-to-eat and convenience foods), Eastern (spices and condiments), and International Business (overseas markets).

Utilisation of Funds

The company will not get any IPO proceeds, and the entire Offer Proceeds will be received by the Promoter Selling Shareholder. 

Financial performance

For the fiscal year 2025, the company reported revenue from operations of ₹2,394.71 crores, with a profit of ₹255.69 crores. 

Company Profile 

Orkla Foods, formerly known as MTR Foods, is a multi-category Indian food company that offers over 400 products across Spices (including blended and pure spices), Convenience Foods (including ready-to-cook (“RTC”), ready-to-eat (“RTE”) foods, and Vermicelli) under the brand names MTR and Eastern.

As of Fiscal 2025, the company sells approximately 2.3 million units on average daily. 

In Fiscal 2024, Orkla was one of the top four companies in terms of revenue from operations among select leading spices and convenience food peers. (According to the Technopak Report). 

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