In a significant post-listing development, Nippon India Mutual Fund has acquired 62.22 lakh shares of recently-listed Orkla India at an average price of INR 737.96 per share, valuing the transaction at a substantial INR 458.86 crore.
Orkla India bulk deal underscores growing institutional interest in the newly listed food major, which recently debuted on the bourses following a robust subscription during its IPO.
🏢 About Orkla India
Orkla India, incorporated in 1996, is one of India’s leading multi-category food enterprises, operating under the well-known MTR and Eastern brands. The company offers a portfolio exceeding 400 products, spanning spices (pure and blended), ready-to-cook and ready-to-eat foods, vermicelli, dry mixes, and more — essentially catering to every meal occasion from breakfast to dessert.
With nine manufacturing facilities in India and 21 contract manufacturers across India, the UAE, Thailand, and Malaysia, the company’s expansive distribution network covers 843 distributors, 1,800 sub-distributors, and over 6.86 lakh retail touchpoints across the country. Orkla also has a strong export presence, shipping to over 40 countries, which generated INR 486 crore (20.6% of FY25 sales).
Orkla India IPO Recap & Listing Performance
The company recently concluded its much-anticipated IPO under the MTR Foods brand, open from 29–31 October 2025. The public issue comprised a pure Offer for Sale of 2.28 crore shares, raising INR 1,667.54 crore at a price band of INR 695–730 per share.
The issue received overwhelming response — QIBs subscribed 117.6x, NIIs 54.4x, and retail investors 7.05x, reflecting strong investor appetite.
On its listing day (6 November 2025), Orkla India debuted at INR 750.10 per share, a 2.17% premium to the issue price, before closing slightly lower at INR 713.65, down 2.24%. As of today it is trading at INR 707 per share (down 0.83%).
📊 Financial Performance
| Financials | FY23 | FY24 | FY25 | Q1 FY26 |
|---|---|---|---|---|
| Revenue | 2,172.48 | 2,356.01 | 2,394.71 | 597.00 |
| Net Income | 339.13 | 226.33 | 255.69 | 78.92 |
| Net Margin (%) | 15.57 | 9.61 | 10.68 | 13.22 |
Key operational metrics show steady revenue growth and improving margins, signaling operational efficiency post-consolidation of MTR and Eastern Foods.
📈 Valuations & Key Ratios
- Current Market Price: INR 707 (as of 7 Nov 2025)
- Market Cap: INR 9,691 crore
- Stock P/E: 37.7
- EPS: INR 18.7
- ROE: 9.8%
- ROCE: 13.6%
- Debt-to-Equity: 0.02 (virtually debt-free)
- EV/EBITDA: 22.4
- PEG Ratio: 1.23
🧾 Orkla India Bulk Deal: Snapshot
Compared to peers like Tata Consumer Products (P/E 85.9), Orkla India trades at a relatively moderate valuation, reflecting both its growth potential and improving profitability trajectory.
| Parameter | Details |
|---|---|
| Bulk Buyer | Nippon India Mutual Fund |
| Quantity Bought | 62,22,000 shares |
| Price per Share | INR 737.96 |
| Total Deal Value | INR 458.86 crore |
| Stock Exchange | NSE / BSE |
| Current Market Price (7 Nov 2025) | INR 707 |
| Sector | Packaged Foods / FMCG |
| Key Brands | MTR, Eastern |
Verdict
Nippon India MF bulk purchase in Orkla signals a strong institutional vote of confidence in Orkla India’s long-term growth story. The fund’s entry soon after listing suggests optimism about the company’s margin expansion and brand leverage in the fast-growing packaged food segment.
While short-term price movements may remain volatile post-listing, Orkla India’s low leverage, double-digit return ratios, and consistent 20%+ export share position it as a structurally sound FMCG player with scalable potential.
Conclusion
Nippon India MF’s INR 458 crore bet on Orkla India signals that institutional capital is betting on India’s food transformation story. With premium brands, a diversified portfolio, and expanding export channels, Orkla India’s steady fundamentals may make it one of the most closely watched FMCG stocks in the coming quarters.
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