Orkla India IPO: The ₹1,667 crore initial public offering (IPO) of owns spices and condiments brands MTR and Eastern, Orkla India, closed for bidding on Friday amid strong demand from all categories of investors.
Orkla India IPO also enjoyed a decent grey market premium (GMP) that helped boost the issue’s appeal for retail investors.
Orkla India IPO Subscription
As of the final day of bidding, Orkla India IPO garnered bids for 77,96,28,300 shares, as against 1,59,99,104 shares on offer, translating into 48.73 times bids.
The qualified institutional buyers’ (QIB) quota was booked the most at 117.63 times. The non-institutional investor (NII) portion received 54.42 times bids, and the retail part closed with 7.05 times subscription. Meanwhile, the employee segment garnered 15.13 times bids.
Orkla India IPO GMP
Orkla India IPO GMP jumped to ₹86 today. At the prevailing GMP and issue price, Orkla India IPO shares could list at ₹816 apiece on the NSE, a premium of 11.78%.
Grey market premium is, however, subject to changes and should not be the guiding factor behind the investment decision. It also signals an investor’s willingness to pay over and above the IPO price.
Orkla India IPO Details
Orkla India IPO was entirely an offer for sale of 2.28 crore shares. This means all the proceeds will go to the shareholders offloading stake and will not be received by the company.
Promoter Orkla Asia Pacific Pte and shareholders — Navas Meeran and Feroz Meeran — are offloading shares via the IPO.
The price band for the offer was fixed in the range of ₹695 to ₹730 per share, valuing the company at around ₹10,000 crore at the upper end. Investors could apply for Orkla India IPO in lots of 20 shares and multiples thereof.
ICICI Securities, Citi, JP Morgan and Kotak Mahindra Capital acted as the book-running lead managers, and KFin Technologies is the registrar to the issue.
Since Orkla India IPO has closed for bidding, the investor focus will now shift to its allotment. Orkla India IPO allotment is expected to be finalised on Monday, November 3, and the listing is expected to take place on BSE and NSE on November 6.
Orkla India is an Indian food company that offers a diverse range of products that cater to every meal occasion, including breakfast, lunch, snacks, dinner, beverages and desserts. The key product categories we offer are Spices and Convenience Foods.
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