Patanjali Foods gains 2% amid initial deliberation over merger of PALs non-food business with parent firm
Amid reports claiming the merger of PALs non-food business with Patanjali Foods, the company clarified that it is currently deliberating over the initial proposal.
Shares of Patanjali Foods in early trade on Wednesday gained as much as 2 per cent to day's high price of Rs 1,503 after the company said that it was deliberating over the proposal of selling Patanjali Ayurved Limited’s (PAL) non-food business undertaking to the parent company- Patanjali Foods.
The FMCG company reacted to a report claiming that Patanjali Ayurved’s non-food business would be merged with Patanjali Foods.
“We may clarify that the Board of Directors of Patanjali Foods Limited (“the Company”) at its meeting held on April 26, 2024 had discussed the initial proposal received from Patanjali Ayurved Limited (“PAL”) for a sale of PAL’s non-food business undertaking to the Company,” the company said in an exchange filing.
A committee comprising an independent director, CEO, and CFO was formed to evaluate the proposal, carry out due diligence and valuations, etc., which is in progress, it added.
(This story will be shortly updated)
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