Latest News | Ruchi Soya Shares Jump 20 Pc, Hit Upper Circuit on Rs 4,300 Cr FPO Announcement

New Delhi, Mar 14 (PTI) Shares of Ruchi Soya on Monday rallied 20 per cent after the company announced it will hit the capital market with its follow-on public offer (FPO) on March 24 to raise up to Rs 4,300 crore.

The stock jumped 20 per cent to settle at Rs 964.40 on the BSE.

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It rallied 20 per cent to close at Rs 963.75 at the NSE.

In a regulatory filing late on Friday, Ruchi Soya said a committee of the board has approved and adopted the red herring prospectus (RHP).

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It also approved the bid/issue opening date of March 24, 2022, and closing date of March 28, 2022.

In August last year, the company had received capital markets regulator Sebi's go-ahead to launch the FPO. It had filed the draft red herring prospectus (DRHP) in June 2021.

The company is coming out with the public issue to meet Sebi's norm of minimum public shareholding of 25 per cent in a listed entity.

As per the DRHP, Ruchi Soya will utilise the entire issue proceeds for furthering the company's business by repayment of certain outstanding loans, meeting its incremental working capital requirements and for other general corporate purposes.

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

(The above story is verified and authored by Press Trust of India (PTI) staff. PTI, India’s premier news agency, employs more than 400 journalists and 500 stringers to cover almost every district and small town in India.. The views appearing in the above post do not reflect the opinions of LatestLY)