Patanjali Bids for Acquisition Of Bankrupt Ruchi Soya

The company s debt stood at around Rs 12 000 crore at the end of last year
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Yoga guru Baba Ramdev run fast-moving consumer goods firm Patanjali Ayurved Ltd, has made a Rs 9,000 crore ($1.38 billion) bid to acquire bankrupt edible oils manufacturer Ruchi Soya Industries Ltd, reported a financial daily.

According to the report, Ruchi Soya has so far received bids from more than 26 suitors including ITC, Phoenix ARC, Emami Group, AION Capital Partners and private equity giant KKR.

Ruchi Soya is in the midst of insolvency resolution proceedings initiated by the National Company Law Tribunal (NCLT) following petitions from creditors Standard Chartered Bank and DBS Bank.

The company’s debt stood at around Rs 12,000 crore at the end of last year.

While all the bids are yet to be officially opened, the report quoted persons familiar with the matter as saying that Patanjali’s bid could be one of the highest.

Ruchi Soya, which sells food products and edible oils under the brands Nutrela, Mahakosh, Sunrich, Ruchi Gold and Ruchi Star, expects the process to be completed by June 13.

A 51% stake sale to private equity major Devonshire Capital was deemed null and void after the NCLT admitted the insolvency case against Ruchi Soya late last year.