Orkla India IPO creates buzz before listing, strong GMP surge raises investor hopes for massive gains

New Delhi: Next week, several companies are set to enter the primary market through IPOs. One of these is Orkla India Ltd. This IPO will open on the main board on October 29th. However, it has already created a buzz in the gray market. Its GMP is trading at over 20%. Consequently, it could offer investors substantial returns upon listing.

The issue size of this IPO is ₹1,667.54 crore. It will open for bidding on October 29th and close on the 31st. The issue is entirely based on an offer for sale (OFS). This means no new shares will be issued. The company will issue 22.8 million shares under the OFS. Its listing is expected on November 6th.

What is price band?

Its face value is one rupee per share, and the price band is set at 695 to 730 rupees per share. One lot contains 20 shares, requiring an investment of 14,600 rupees. A retail investor can book a maximum of 13 lots. This makes the maximum retail investment limit nearly 1.90 lakh rupees. Analysts say the band has been carefully decided to attract both small and big investors. With such pricing, the IPO has positioned itself as a strong candidate in the current bullish market environment.

What is the price in the grey market?

Orkla's IPO is already making waves in the gray market even before it opens. On Saturday, its gray market premium (GMP) was trading at ₹160. From an IPO price of ₹730, the stock could list at ₹890, a gain of approximately 22%. Experts believe such a premium indicates strong demand from institutional buyers. Grey market activity often reflects early investor sentiment ahead of the official listing. If this trend continues, Orkla may emerge as one of the most rewarding IPOs of the season.

What does the company do?

Orkla, founded in 1996, is a well-known food company in India. It manufactures breakfast and dinner products, snacks, beverages, and sweets. The company owns some of India's most popular brands, including MTR Foods, Eastern Condiments, and Rasoi Magic. It sells its products not only in India but also in 42 countries, including the United States and Canada. As of June 30, 2025, the company had a range of over 400 products. In fiscal year 2025, the company sold an average of approximately 2.3 million units per day.