Orkla India shares make modest stock market debut, list at 3% premium over IPO price; should you buy, sell or hold?

Orkla India share price: Stock lists at 3% premium over IPO price on NSE.

Orkla India shares made a modest stock market debut to list at nearly 3 percent premium over the initial public offering (IPO) price on the National Stock Exchange (NSE). The Rs 1,667-crore issue was subscribed 48.73 times between October 29-31 in the primary market.

Shares of Orkla India were listed at Rs 750.10 per share on the NSE, a premium of 2.75 percent. The issue had a price band of Rs 695-730 per share.

On the BSE, the shares of the company were listed at Rs 751.50 apice, a premium of 2.95 percent. The company's market capitalizatino post listing of shares stood at Rs 10,294.74 crore. Earlier, it raised around Rs 500 crore from anchor investors.

Orkla India share market debut on Thursday was lower than the expectations in the grey market, which had expected a 9 percent listing gains.

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Orkla India share market listing: Should you buy, sell or hold?

Prashanth Tapse, Senior Vice-President (Research) at Mehta Equities, said, "Orkla India, backed by strong brands such as MTR and Eastern, presents a compelling long-term structural growth story.”

Tapse further noted that the robust subscription numbers reflect investor confidence in the company’s fundamentals and its ability to benefit from rising demand for convenience foods in key southern markets. "Allotted investors are advised to hold the stock from a long-term investment perspective, while non-allotted investors may adopt a wait-and-watch approach for a potential post-listing correction," he said.

Orkla India share listing: Should you buy, sell or hold?

Orkla India, formerly known as MTR Foods, is a multi-category Indian food company. It manufactures products as spices, ready-to-eat, sweets and breakfast mixes, under prominent brands such as MTR, Rasoi Magic, and Eastern. The company sells its products under the brands MTR and Eastern.

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