Ruchi Soya FPO Last Day: Ruchi Soya Industries FPO has been subscribed 1.4 times so far as the FPO garnered bids for 6.86 crore equity shares against the size of 4.89 crore equity shares on the final day of bidding. The FPO consists of fresh issuance of equity shares for an amount aggregating to Rs 4,300 crore. The price band for the offer has been fixed at Rs 615-650 per share.
Ruchi Soya FPO: Subscription Status
So far, the issue has subscribed 1.35 times with the FPO garnering bids for 66 million equity shares against the size of 48.9 million equity shares. The qualified institutional buyer (QIB) portion has been subscribed 0.87 per cent, while high networth individual (HNI) portion has been subscribed 3.92 per cent, retail portion 52 per cent, and the employee portion by 5.53 times, NSE data shows.
Ruchi Soya FPO: Price Band
The Patanjali-backed company had already mopped up Rs 1,290 crore through the anchor book, out of the total fundraising aim of Rs 4,300 crore. The price band for the offer, which opened on March 24, has been fixed at Rs 615-650 per share.
Ruchi Soya FPO: Shares Slip 10 per cent
Shares of Ruchi Soya Industries slipped 10 per cent to Rs 783.45 on the BSE in Monday’s intra-day trade ahead of closure of its follow-on public offering (FPO) today. The stock of Patanjali-backed edible oils company traded lower for the fourth straight day, down 14 per cent during the period. It has corrected 31 per cent from its high of Rs 1,139.95 touched on March 15, 2022. At 11:07 am, Ruchi Soya traded 6 per cent lower at Rs 815, as compared to 0.71 per cent decline in the S&P BSE Sensex.
Ruchi Soya FPO: What do Brokerages Say?
“The company with upstream and downstream integration is one of the key players in oil palm plantation and has developed an effective strategy to procure key raw materials required for business. Also, the products enjoy strong brand recognition in the Indian market and benefit from a strong, established and extensive distribution,” said Astha Jain, senior research analyst at Hem Securities.
“Ruchi Soya has a strong backup from the Patanjali group and we are seeing a turnaround in the company where it managed to turn profitable. It has a strong product portfolio and is one of the largest fully integrated edible oil refining companies in India. The stock is trading with a price-to-earnings multiple of 32, which is lower than the industry average,” said Aayush Agrawal, senior analyst, Swastika Investmart.
The Baba Ramdev-led Patanjali Ayurved owns 98.9 per cent stake in Ruchi Soya. The FPO is being done to dilute the promoter holding in the company in order to comply with the 25 per cent minimum public shareholding norms. Following the FPO, Patanjali’s shareholding will reduce to 81 per cent, while public shareholding will rise to 19 per cent. Ruchi Soya is primarily engaged in manufacturing and selling of edible oil and soya products under brands, such as Mahakosh, Sunrich, and Nutrela.
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