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Ruchi Soya hits capital market to raise Rs 4,300 crore; eyes to be debt-free The price band has been fixed at Rs 615 to Rs 650 per share
Ajith Athrady
DHNS
Last Updated IST
Ruchi Soya is owned by Baba Ramdev-led Patanjali Ayurveda. Credit: PTI Photo
Ruchi Soya is owned by Baba Ramdev-led Patanjali Ayurveda. Credit: PTI Photo

Ruchi Soya Industries Limited has garnered Rs 1,290 crore from anchor investors, founder of Patanjali Ayurved, Baba Ramdev, said on Thursday.

Patanjali Ayurved-owned Ruchi Soya hit the capital market to raise Rs 4,300 crore through its follow-on public offer (FPO) on Thursday. The issue closes on March 28. The price band has been fixed at Rs 615 to Rs 650 per share.

Addressing a press conference here, Ramdev said that the firm will pay back Rs 3,300 crore of debt of the issuer and the rest will go for various corporate purposes. "Ruchi Soya will become debt-free," he asserted.

“Ruchi Soya is no more just a commodity company but operates important verticals like FMCG, food business, and nutraceuticals as well. The company will not only focus on distribution in rural India but strengthen global reach,” he said.

Ramdev said that the endeavour is to make both Ruchi and Patanjali global food brands. The group will have four business verticals under branded food, nutraceuticals, edible oils and health and wellness products.

"We are running the company with transparency, accountability and corporate governance," he said.

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Ruchi Soya is among the largest branded edible oil companies with its flagship brand Ruchi Gold, which is one the largest selling palm oil brands in the country. Its other leading brands include Mahakosh, Sunrich, Ruchi Star and Ruchi Sunlight.
It is also the pioneer and largest manufacturer of soya foods under the brand name of Nutrela with a 40 per cent market share.

Since the takeover, Patanjali has allowed Ruchi to sell its packaged food portfolio of biscuits, cookies, rusks, noodles, and breakfast cereals, making it one of the leading FMCG, health and wellness companies.

In 2019, Patanjali acquired Ruchi Soya, which is listed on the stock exchanges, through an insolvency process for Rs 4,350 crore.

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(Published 24 March 2022, 15:50 IST)