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The Board of Directors of Ruchi Soya Industries Limited on Wednesday decided to change the name of the company to ‘Patanjali Foods Limited’.
The board has also approved a proposal to acquire Patanjali Ayurved Limited’s food retail business for ₹690 crore.
Ruchi Soya is a part of yoga guru Baba Ramdev-led Patanjali Group. Patanjali acquired Ruchi Soya Industries Limited through an insolvency process in 2019.
In a regulatory filing to the stock exchanges, Ruchi Soya Industries Limited said the Board of Directors has approved the “change in name of the company from Ruchi Soya Industries Limited to Patanjali Foods Limited subject to, inter alia securing approval of members, Ministry of Corporate Affairs and such other applicable statutory/regulatory authorities.”
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The Ministry of Corporate Affairs has confirmed the availability of the name Patanjali Foods Limited. So the company won’t find any major hurdle in the name change process.
On acquisition of the food retail business of Patanjali Ayurved Limited, Ruchi Soya Industries said the Board has approved the “Business Transfer Agreement (“BTA”) with Patanjali Ayurved Limited (“PAL”) to acquire the food retail business undertaking of PAL, which consists of manufacturing, packaging, labelling and retail trading of certain food products along with manufacturing plants located at Padartha, Haridwar, and Newasa, Maharashtra (“Food Retail Business Undertaking”), as a going concern on a slump sale basis subject to approval of shareholders and other authorities as may be required.”
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The acquired food business comprises of 21 major products, namely ghee, honey, spices, juices, and atta.
The acquisition is valued at a fair market value (net) of ₹690 crore based on all the fixed assets of food division and respective current assets on slump sale basis, Ruchi Soya said in a statement.
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