This Article is From Mar 30, 2022

Ruchi Soya's Board To Meet On March 31 To Fix FPO Price Issue

Ruchi Soya said it had rescheduled its board meeting to March 31 to fix the issue price of its Rs 4,300 crore FPO.

Ruchi Soya's Board To Meet On March 31 To Fix FPO Price Issue

Ruchi Soya reschedules board meet on March 31 to fix FPO issue price

New Delhi:

Baba Ramdev-led Patanjali group's Ruchi Soya Industries said it had rescheduled its board meeting on March 31 to fix the issue price of its Rs 4,300 crore FPO (follow-on public offer) given markets regulator SEBI's direction to allow withdrawal of investors' bids until Wednesday.

On Monday, the Securities and Exchange Board of India (SEBI) asked bankers of Ruchi Soya to give an option to investors who participated in the FPO to withdraw their bids while also cautioning them about the "circulation of an unsolicited SMS" about the share sale.

"In light of the Sebi letter directing to keep the window for withdrawal open till March 30, 2022, we would like to inform you that the board meeting proposed to be held on March 29, 2022, has been rescheduled, and now it will be held on March 31, 2022, to determine the issue price and the anchor investor issue price," Ruchi Soya said in a regulatory filing.

On Monday, Ruchi Soya Industries Ltd informed the regulator and stock exchanges that it had come across some messages on social media "speculating" about investment opportunities in the FPO and the company shares being available at a discount to the market price.

The company said this message had not been issued by it or any of its directors, promoters, promoter group or group companies.

It further said that the company had lodged an FIR in Haridwar to investigate these messages under the IT Act and Section 420 of the IPC.

"As directed by Sebi, we wish to bring to the attention of the investors that all bidders (other than anchor investors) have an option to withdraw their bids from March 28, 2022, till March 30, 2022," Ruchi Soya said.

"Investors should further note that bidding in the issue is closed on March 28, 2022, and accordingly, no further bids will be accepted. After the bid/issue closure, any bids will be rejected," it added.

This regulatory filing followed a direction issued by Sebi after a meeting held earlier in the day with the bankers managing the FPO.

Sebi asked bankers to issue an advertisement in newspapers on Tuesday and Wednesday, cautioning investors about the circulation of SMS.

Besides, Sebi asked bankers to give an option to investors to withdraw their already placed bids till March 30.

The issue opened on March 24 and was subscribed 3.6 times until Monday's scheduled closing.

The company has already raised Rs 1,290 crore from anchor investors.

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