Ruchi Soya FPO gets subscribed 3.6 times on final day

Ruchi Soya Industries' follow on public offer to raise up to Rs 4,300 crore was subscribed 3.60 times on the final day on Monday.

The Follow on Public Offer (FPO) opened on March 24 and the company raised Rs 1,290 crore from anchor investors.

Bids of more than 17.60 crores came in for little over 4.89 crore shares on offer. As a result, the FPO was subscribed 3.60 times on the final day, according to data available on BSE.

The quota for Qualified Institutional Buyers (QIBs) was subscribed 2.20 times while that of non-institutional investors received 11.75 times subscription.

The portion set aside for retail individual investors was subscribed 90 per cent, as per the data.

The price band for the offer is Rs 615-650 per share.

Ruchi Soya Industries, owned by Baba Ramdev-led Patanjali Ayurved, has come out with the FPO to meet Sebi's minimum public shareholding norm of 25 per cent in a listed entity.

The company would utilise the entire issue proceeds for furthering its business by repayment of certain outstanding loans, meeting its incremental working capital requirements and other general corporate purposes, according to the Draft Red Herring Prospectus.

In 2019, Patanjali acquired Ruchi Soya through an insolvency process for Rs 4,350 crore.