Ruchi Soya FPO: SEBI gives retail an option to take back their money from Baba Ramdev's firm

Ruchi Soya FPO SEBI news: In a first the market regulator SEBI is giving retail investors an 'out' from an FPO bid. The Securities and Exchange Board of India provided an option to the investors in Ruchi Soya's Rs 4,300 crore follow-on public offer (FPO) to withdraw their applications.

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“All investors/bidders (except anchor book participants) shall be given an option to withdraw their bids. The window for withdrawal shall be available on March 28, March 29 and March 30, 2022. The procedure for withdrawal shall be informed to investors and shall form part of the advertisement being issued,” Sebi directed.

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SEBI noticed some unsolicited messages going out to Patanjali Ayurved’s users to invest in Ruchi Soya's FPO. Sebi has directed the lead banking managers to issue a notice to all the investors cautioning them of such circulation of unsolicited SMSes.

As per reports one such SMS read "Great news for all beloved members of Patanjali parivar. A good investment opportunity in Patanjali Group. Patanjali Group company- Ruchi Soya Industries Ltd has opened the Follow-On Public offer (FPO) for retail investors. The issue closes on 28 March 2022. This is available in the price band- Rs 615-650 rupees per share , i.e discount of about 30% to market price. You can apply for shares through your bank/ broker/ ASBA/UPI in your Demat account"

SEBI, citing the above message, has asked Ruchi Soya to issue an advertisement in newspapers cautioning the investors. Retail investors bid for for 90% of their quota in Rs 4,3000 crore issue.

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