Ruchi Soya share: FPO opens March 24; anchor investors put Rs 1,290 cr

Patanjali's Ruchi Soya shares in focus as its follow-up public offer (FPO) opens Thursday. The public offer will close on March 28. Ruchi Soya also raised Rs 1,290 crore from anchor investors.

Ruchi Soya FPO details

The FPO price band was set at Rs 615 to 650. This is a steep discount to the sub-Rs 900 per share price. The minimum bid lot shall be 21 and in multiples of 21 equity shares thereafter.

Ruchi Soya is looking to raise Rs 4,300 crore for repayment of certain borrowings, incremental working capital requirements, and general corporate purposes.

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Currently, Baba Ramdev backed Patanjali owns 98.9% in Ruchi Soya while public shareholders own 1.1%. Post the FPO, Patanjali's shareholding in the edible oil manufacturer will reduce to 81% while public shareholding will rise to 19%.

Through the FPO, promoters of the company seek to reduce their shareholding to comply with SEBI's guidance. The issue will also include a reservation of about 10,000 equity shares to eligible employees for a subscription.

Yoga guru Baba Ramdev- led Patanjali acquired Ruchi Soya in 2019 through an insolvency process for Rs 4,350 crore.

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