Ruchi Soya FPO subscribed 12% on Day 1; retail portion booked 21%

The follow-on public offering of Ruchi Soya Industries Ltd, a diversified FMCG and FMHG focused company, was subscribed 12% on the Day 1 on Thursday  

The offer received bids for 56,30,709 shares against the offered 4,89,46,260 equity shares, as per the 5:00 pm data available on the bourses. 

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The Employee portion was subscribed the most with 1.76 times followed by Retail investors with 0.21 times the shares reserved for them, while the part set aside for non-institutional investors was subscribed 0.03 times. Qualified institutional buyers portion was subscribed 0.01 times. 

The FPO comprises equity shares of face value of Rs 2 each aggregating to Rs 4300 crore. The issue also includes a reservation of up to 10,000 equity shares for subscription by eligible employees and promoters are offloading equity shares in the range of Rs 615 – 650 each. 

On Wednesday, Ruchi Soya raised Rs 1290 crore from anchor investors, who were allotted 19,843,153 equity shares at the upper price band of Rs 650 per share. 

Societe Generale, BNP Paribas, The Sultanate of Oman - Ministry of Defence Pension Fund, Yas Takaful PJSC (an Abu Dhabi based insurance company), MK Cohesion, UPS Group and Alchemy are among the foreign investors that received allocation under the anchor investor portion of the FPO. 

In addition, equity shares have been allocated to domestic investors, such as ASK Investments, Volrado Ventures, Kotak Mutual Fund, SBI Pension Fund, UTI Mutual Fund, Aditya Birla Sun Life Mutual Fund, Quant Mutual Fund, Winro Commercial, HDFC Life Insurance, SBI Life Insurance and Authum Investments under the anchor investor portion of the FPO. 

SBI Capital Markets Limited, Axis Capital Limited and ICICI Securities Limited are the book running lead manager to the Issue (“BRLM”). 

Company Information 

Ruchi Soya is recognized amongst the largest branded oil packaged food company. Its ‘Ruchi Gold’ brand has a market leadership position, on account of being India’s highest selling palm oil 
brand  and also the pioneers and largest manufacturers of soya foods in India under the brand name of “Nutrela’, which Ruchi Soya launched in 1980s.