FMCG major Ruchi Soya, which was taken over by Baba Ramdev-led Patanjali Ayurveda under the Insolvency and Bankruptcy Code (IBC), plans to raise about Rs 4,300 crore through a further public offering (FPO).
The company said in regulatory filings at stock exchanges that its issue committee constituted by the board of directors approved the raising of funds and the draft red herring prospectus filed with the Securities and Exchange Board of India (SEBI).
The move will also allow the company to meet SEBI's minimum public shareholding norms. The promoters with 98.9 per cent stake have to dilute a minimum 9 per cent stake in this round of FPO.
Reports said the company may raise around Rs 4,300 crore through the FPO.
Ruchi Soya primarily operates in the business of processing of oilseeds, refining of crude edible oil for use as cooking oil, manufacturing of soya products and value-added products.
The company has an integrated value chain in palm and soya segments having a farm-to-fork business model. It has brands like Mahakosh, Sunrich, Ruchi Gold and Nutrela.
Ruchi Soya owns 22 manufacturing units that cumulatively translate to a refining capacity of over 11,000 tonnes per day, seed crushing capacity of 11,000 tonnes per day and packaging capacity of 10,000 tonnes per day.
It has access to exclusive procurement rights to over two lakh hectares of land in India with the potential of palm oil cultivation.
Last month, Ruchi Soya announced the acquisition of biscuits business from Patanjali Natural Biscuits Pvt Ltd (PNBPL) in a slump sale at Rs 60 crore.
( With inputs from ANI )
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