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Ruchi Soya FPO to open on Mar 24; check price band, other details

Ruchi Soya FPO to open on Mar 24; check price band, other details

The company fixed a price band of Rs 615 to Rs 650 per share for its FPO.

Ruchi Soya FPO this week Ruchi Soya FPO this week

Patanjali Ayurved-owned Ruchi Soya Industries announced the price band for its follow-on public offering (FPO) today. The company fixed a price band of Rs 615 to Rs 650 per share for its FPO. The FPO will open on March 24 and subscription will close on March 28. 

Ruchi Soya FPO consists of fresh issuance of equity shares for an amount of Rs 4,300 crore. The issue also includes reservation of 10,000 equity shares for subscription for its eligible employees, the company stated. 

The minimum bid lot is 21 equity shares and in multiples of 21 equity shares thereafter. The floor price is 307.50 times the face value of the equity share and the cap price is 325 times the face value of the equity share. 

“The issue being made through the Book Building Process, in compliance with Regulation 129(1) of the SEBI ICDR Regulations, wherein not more than 50 per cent of the Offer shall be available for allocation to Qualified Institutional Buyers, not less than 15 per cent of the Offer shall be available for allocation to Non-Institutional Bidders and not less than 35 per cent of the Offer shall be available for allocation to Retail Individual Bidders,” the company added. 

The diversified FMCG and FMHG focused company also has strategically located manufacturing facilities, although it is recognised for its branded oil packaging. The company stated that ‘Ruchi Gold’ brand is the highest selling palm oil brand in the country. Its soya food brand Nutrela is also one of the most well-known products. Ruchi Gold, Mahakosh, Sunrich, Ruchi Star and Ruchi Sunlight are some of its brands.

It also expanded its food portfolio by acquiring the ‘Patanjali’ product portfolio of biscuits, cookies, rusks, noodles, and breakfast cereals. Ruchi Soya also launched its nutraceuticals under the joint branding of ‘Patanjali and Nutrela’. 

The company had received markets regulator SEBI’s approval for the FPO last August. It filed the draft red herring prospectus (DRHP) in June 2021. 

Also read: Ruchi Soya fixes Rs 615-650 price band for its Rs 4,300-crore FPO

Also read: Ruchi Soya stock tanks 17% after firm fixes FPO price band