MTR Food Parent Orkla India files DRHP with SEBI for an IPO

MTR Food owner, Orkla India, has submitted its DRHP Draft Red Herring Prospectus with the market regulator SEBI with an aim to raise funds via Initial Public Offering (IPO). 

As per the Draft papers filed on Tuesday, the IPO comprises entirely an Offer-for-sale of up to 2.28 crore equity shares by promoters and shareholders. The promoters of the company, Orkla Asia Pacific Pte, and shareholders Navas Meeran and Feroz Meeran will be selling shares under Offer-for-Sale (OFS).

Currently, the promoters of the company Orkla Asia Pacific Pte Limited and  Norwegian industrial investment company Orkla ASA hold a 90% stake in the company, whereas Navas Meeran and Feroz Meeran, shareholders of the company, hold a 5% stake in the company. 

This IPO is entirely an OFS means the company will not receive any proceeds raised from the IPO, and the entire money will go to selling shareholders. 

Incorporated in 1924, Orkla India was initially known as MTR Foods is one of the leading multi-category Indian food companies, involved in offering a diverse range of products that can be used in every meal, from breakfast, lunch, dinner, snacks, beverages, and dessert. The company’s portfolio includes a wide range of products such as Sambar Masala, Chicken Masala, Puliogare Masala, Rasam Masala, and Meat Masala, among others, in blended spices, Chilli, Kashmiri Chilli, Turmeric, Coriander, and Cumin, among others. The company sells its products under the brands MTR and Eastern. 

In FY25, Orkla India has generated a revenue of ₹239 crore from operations, while in FY25, the (PAT) Profit After Tax rose by 10.7%, respectively  

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

The shares of Orkla India are proposed to be listed on the NSE (National Stock Exchange) and the BSE (Bombay Stock Exchange).

Orkla India IPO Prospectus:

Orkla India Company Financial Report

Amount ₹ in Crores

Orkla India IPO Valuation – FY2025

Orkla India IPO valuations detail like Earning Per Share (EPS), Price/Earning P/E Ratio, Return on Net Worth (RoNW), and Net Asset Value (NAV) details.

Peer Group Comparison

Objects of the Issue

• Fees and commissions payable to the Book Running Lead Managers (including any underwriting commission, brokerage and selling commission)
• Advertising and marketing expenses for the Offer
• Fees payable to the Registrar to the Offer
• Commission/processing fee for SCSBs, Sponsor Bank(s) and Bankers to the Offer. Brokerage and selling commission and bidding charges for Members of the Syndicate, Registered Brokers, RTAs and CDPs
• Printing and distribution of Offer stationery
• Other expenses including, listing fees, SEBI filing fees, BSE and NSE processing fees, book building software fees and other regulatory expenses
• Fees payable to other intermediaries to the Offer, including but not limited to Statutory Auditor, independent chartered accountant, practicing company secretary and industry data provider
• Fee payable to legal counsels
• Miscellaneous

IPO Lead Managers aka Merchant Bankers

• ICICI Securities Limited
• Citigroup Global Markets India Private Limited
• J.P. Morgan India Private Limited
• Kotak Mahindra Capital Company Limited