MTR-Parent Orkla India Raises Rs 500 Crore From Anchor Investors Prior To IPO Launch

Orkla India Ltd. has raised Rs 499.60 crore from anchor investors on Tuesday, ahead of its initial public offering. The company allotted 68.43 lakh shares at Rs 100 apiece to 30 anchor investors.

Nippon Life India Trustee Ltd.- A/C Nippon India Small Cap Fund got the highest allocation of 12.19%. While Nomura Funds Ireland Public Ltd. Co.- Nomura Funds Ireland- India Equity Fund got the second highest allotment of 10.01%, Aditya Birla Sun Life Trustee Pvt. Ltd. A/C Aditya Birla Sun Life Consumption fund got 8.01% stake in the company.

Six domestic mutual funds have applied through 13 schemes, the owner of spices and condiments brands MTR and Eastern said in an exchange filing on Tuesday. They have collectively netted 42.40% of the anchor portion. Nippon Life India, Aditya Birla Sun Life Insurance and LIC were among the major fund houses in this category.

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.

The IPO will open for subscription on Wednesday, Oct. 29 and close on Friday, Oct. 31. It consists of only an offer for sale of shares. Promoter Orkla Asia Pacific, along with public shareholder 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 will seek investments from large institutions via the anchor round on Tuesday, Oct. 28.

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.

As of March 31, 2025, the company's network comprised 843 distributors and 1,800 sub-distributors across 28 states and five union territories.

The Bengaluru-headquartered company is a subsidiary of Orkla ASA, a Norway-listed industrial, long-term investment company focused on brands and consumer-oriented companies. Orkla entered India in 2007 by buying MTR Foods, and followed up the acquisition of Kerala-based spice maker Eastern Condiments in 2012.

The promoter will receive Rs 1,500 crore from the IPO.