IPO-bound Orkla India charts global expansion

IPO-bound Orkla India, formerly known as MTR Foods, plans to ramp up its international presence through a phased entry strategy aimed at methodical growth in high-potential markets such as Australia, New Zealand, Singapore, and Malaysia — key regions with large Indian diaspora population — according to its DRHP.

These countries, along with the UK, collectively host around 6.7 million overseas Indians as of December 31, 2024, according to Technopak Report.

The IPO will comprise 2,28,43,004 equity shares of face value ₹1 each, entirely offered by the promoters. Promoter group members, Navas Meeran and Feroz Meeran, who each hold a 5 per cent stake in the company, will offload 11,41,118 equity shares apiece as part of the issue.

In addition to targeting the newer markets, the company is also focused on strengthening its footprint in global regions such as the GCC countries, the US, and Canada. Over the past few years, Orkla has expanded its network of distributors in these regions, growing from 12 distributors in FY23 to 19 in FY25.

Spices business

Spices account for 66.6 per cent of Orkla India’s revenue, while convenience foods contribute the remaining 33.4 per cent. For the financial year ending March 2025, the company reported revenue of ₹2,455 crore and a profit after tax (PAT) of ₹255.7 crore.

Exports comprise 20.6 per cent of the total revenue, while the domestic market is heavily skewed toward the southern region, which alone accounts for 70.2 per cent of total sales.

Orkla India, best known for its packaged food brands MTR and Eastern, has structured its upcoming IPO with a 35 per cent allocation for retail investors, and a reserved employee quota of up to 5%, based on the post-offer paid-up equity share capital.

Published on July 4, 2025