Orkla India (MTR Foods Parent): The Global FMCG Powerhouse

Imagine investing in a company that makes your favourite ready-to-eat meals, spices and breakfast mixes and which is gearing up to go public. That is exactly what Orkla India Limited offers. As the parent of the renowned MTR Foods and Eastern Condiments brands, Orkla India sits in a high-growth segment: packaged foods and spices. If you are planning to invest in Orkla India IPO, then read this article till the end for information related to Orkla India.

Overview of Orkla India (MTR Foods Parent)

Orkla India began life as MTR Foods Pvt Ltd in Bengaluru. The brand “MTR” traces its roots to the famous Mavalli Tiffin Room restaurant from 1924. In 2007, Norwegian industrial investment company Orkla ASA acquired MTR Foods. Over time, Orkla expanded in India and acquired a majority stake (approximately 68%) in Kerala-based spice maker Eastern Condiments in 2020.

Business and Brands under Orkla India

In October 2023, Orkla India reorganised its India operations into one entity - Orkla India, with three business units:

• MTR Foods: Ready-to-eat meals, breakfast mixes, spices, instant mixes.
• Eastern Condiments: Strong in regional spices (especially Kerala) and exports.
• Others: Rasoi Magic (via acquisition) and other convenience food brands.

Geographic and Market Reach

While the origins are in South India, the business is pan-Indian and also exports to 40+ countries. Let us understand from the following table:

Important: If you are planning to invest in a branded FMCG/food company with strong heritage brands, backed by a large global parent, operating in a growth market, then you can consider this company, but we strongly recommend that you do your own research before investing.

Current Financial Snapshot of Orkla India

When evaluating pre-IPO companies, it is very important to check the financial aspects and important numbers related to growth and current financial performance of the company.

Recent Financials and Valuation Moves

• Orkla India filed its DRHP with the regulator Securities and Exchange Board of India (SEBI) in June 2025 for an IPO via Offer for Sale (OFS) of around 2.28 crore shares.
• The IPO price band was set in October 2025 at ₹695-₹730 per equity share (face value ₹1) for an IPO size of about ₹1,667 crore.
• For FY25 (year ended March 2025), Orkla India reported revenue of ₹2,455 crore and PAT (profit after tax) of ₹255.7 crore. 
• For FY24, revenue was ₹2,388 crore and PAT ₹226.3 crore.

Key Metrics for Orkla India

The following are some of the key metrics for Orkla India, which are important to consider from an investment point of view:

• Revenue: ₹2,455 crore (FY25)
• Profit: ₹255.7 crore (FY25)
• Growth target: 10-12% CAGR

Important Factors for Orkla India to Consider

The following are some of the other important factors that you should check before investing:

Investor takeaway: Orkla India is in decent shape for a pre-IPO target. It has revenues, profits, heritage brands and a clear path to listing. But the valuation is bold, so growth execution will matter.

Market and Growth Potential for Orkla India

The following are some insights about Orkla India regarding its market and growth potential:

• The Indian packaged food market (including ready-to-eat, snacks, breakfast mixes) is estimated at ₹10.18 lakh crore in FY24 and growing at 10.8% CAGR (FY19-24).
• The spices market alone is substantial. Approximate size is ₹2,00,643.7 crore in 2024, expected to reach ₹5,13,253.9 crore by 2033.
• Orkla India’s management states they are targeting growth of 10-12% annually.

Competitive Position and Strengths of Orkla India

Let us understand the competitive position and strengths of Orkla India:

• Heritage brands: MTR has a strong presence in South India. Eastern has regional dominance in Kerala and a strong export presence.
• Synergies: Combining MTR and Eastern under Orkla India gives a more national footprint and capacity to scale.
• Exports: Selling to 40+ countries gives diversification of revenue beyond India.
• Parent backing: Orkla ASA’s global experience and resources offer operational, supply-chain, research and development support.

Expansions and Opportunities for Orkla India

The following are some of the expansion plans and opportunities for Orkla India:

• Geographical Consolidation: Converting regional strongholds into national brands.
• Product Expansion: From spices to convenience foods, breakfast mixes, ready-to-eat and ready-to-cook categories.
• Digital and Export push: Scaling D2C channels, modern trade, e-commerce.
• Listing as Catalyst: A public listing often brings increased brand visibility, better governance, improved liquidity - all positives for investors in unlisted shares.

Pre-IPO Status of Orkla India

The following is the current status of Orkla India, as it is preparing for IPO:

• Orkla India filed its DRHP with SEBI in June 2025 for an IPO via an Offer for Sale of existing shares (no new capital raised).
• The IPO price band (₹695-₹730) is for ₹1,667 crore size.

Promoters and Management Team of Orkla India

The following are actively promoting and managing Orkla India:

• Promoters: Orkla Asia Pacific Pte Ltd and Orkla ASA hold 90 % stake in Orkla India.
• Navas Meeran and Feroz Meeran (promoters of Eastern Condiments) own 5 % each.
• Listing-related governance: The board was restructured with independent directors ahead of IPO.

Key Management and Strategy of Orkla India

• CEO of Orkla India: Sanjay Sharma (also earlier CEO of MTR). He oversees all three business units (MTR, Eastern, and International).
• Strategy: Management strategy is focused on “brands rooted in local heritage” and scaling up under one umbrella. 
• Parent support: Under Orkla ASA’s global strategy, India is seen as high-potential, and Orkla India has been among the top portfolio companies (sixth largest in parent), contributing 4 % of Orkla’s global sales.

Risks and Considerations for Orkla India

The following are some of the important considerations regarding risks, when it comes to investment in Orkla India:

• Raw materials price inflation: Spice/raw-ingredient inflation or supply chain disruptions could squeeze margins. For example, Orkla India acknowledged high food inflation (12-13%), hurting volume growth.
• Consumption Slowdown: FMCG volume growth has been muted. The company noted an industrial slowdown in FY24.
• Competitive Intensity: The packaged food market is crowded with large players (HUL, ITC, Cargill and others). Orkla India needs to keep innovating and capturing share from regional to national scale.
• Execution Risk of Growth and Integration: Merging brands (MTR + Eastern) and running three business units is complex. Integration risk remains.

Conclusion

If you are looking for a premium food-brand play in India ahead of a public listing, Orkla India Limited presents a compelling case. It combines strong brands (MTR, Eastern), backing of a global parent (Orkla ASA) and exposure to a large and growing market (spices + convenience foods). However, no investment is risk-free, so always check the associated risks.

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Frequently Asked Questions

What is Orkla India Limited?

The Indian business of the Norwegian parent, Orkla ASA. It owns brands like MTR Foods, Eastern Condiments, and operates in spices, convenience foods and exports in India.

Can I invest in Orkla India now, even though it is unlisted?

Yes, via unlisted share markets or pre-IPO allocations. But you should have a clear exit strategy (listing or secondary sale) and understand the risks.

What is the listing or IPO status of Orkla India?

The company filed its DRHP in June 2025 for an OFS. Price band set at ₹695-730 in October 2025, implying a valuation of ₹10,000 crore.

What are the major risks of investing before listing?

Liquidity risk (difficulty in exit), valuation risk (premium may not be realised), execution risk (growth expectations may falter), and governance/ transparency risk (pre-listing disclosures may be weaker).

What makes Orkla India a good investment?

Strong heritage brands, backed by a global parent, growing Indian food market tailwinds, cross-brand synergies, and pre-listing upside - all good signals for a potential investment.

How do I evaluate if the pre-listing share price is fair?

Compare implied valuation ( ₹10,000 crore) with earnings (₹255 crore PAT), which means P/E is 39×. Compare that with listed peers, growth rate fairness, and margin trends. Check whether the premium is justified by the expected growth.

Author: Diwakar Singh

Diwakar Kumar Singh is a finance writer and BFSI specialist with 7+ years of experience in financial content and research. He has authored hundreds of finance articles, published multiple books internationally, and contributed to research publications. A Gold Medalist MBA from IMT, he brings a strong analytical understanding combined with clear, reader-focused communication. His work focuses on simplifying complex financial topics, including IPO analysis, unlisted shares, financial ratios, and company evaluations, providing well-researched and evidence-based insights to help readers make informed financial decisions.