Orkla India IPO: Subscription nearly 50 times; what profit can bidders earn? See GMP

Kolkata: Orkla India IPO was subscribed nearly 50 times overall -- 7.06 times in the retail category, 117.63 times in QIB (ex anchor) category and 54.42 times in the NII category. The shares are supposed to list tomorrow, November 6. The bidding window for the Orkla India IPO was open from October 29 to October 31.

According to investorgain, the GMP or Grey Market Premium for Orkla India IPO was Rs 70 on November 5 morning. With the upper band of the price band being Rs 730, this GMP level indicates a listing gain of 9.59%. The allotment for Orkla India shares was completed on November 3. The shares will be listed on both BSE and NSE.

The GMP stood at a high of Rs 145 on October 145. It came down to Rs 68 on October 29, the day the bidding process started. Therefore, the listing gain indicated on October 24 was 19.86%. It dipped to 9.32% on the first day of the bidding window. Now it has marginally recovered to 9.59%.

Subscription level: 48.7 times overall

QIB (Qualified Institutional Buyers): 117.63 times

NII (Non-Institutional Investors): 54.42 times

Retail Investors: 7.05 times

According to data, retail investors bid for 5.62 crore shares while only 0.79 million shares were on offer in this category. Thus a large number of investors were interested. Even though a huge number of applicants did not get allotment, they will be interested in the listing price to decided whether they will pick up shares from the secondary market.

Orkla India was formerly known as MTR Foods. It is prominent FMCG company with strong presence in the ready-to-eat, spices and instant mix products markets. The firm is the Indian unit of Norway's Orkla ASA Group. The Orkla India IPO was an entirely OFS issue and it raised Rs 1,667.54 crore through the sale of 2.28 crore shares.