RUCHI SOYA FPO

PiyushG14 141 views 16 slides May 02, 2022
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About This Presentation

A brief case study on Ruchi Soya FPO, which will help you get to know various loopholes and corrective actions that Ruchi Soya took.

This ppt has included a brief content on whole case study how Ruchi Soya from a big player in the market fell into bankruptcy and what were the impacts on its stock ...


Slide Content

PRESENTED BY GC GET READY FOR ADVENTURE RUCHI SOYA FPO

POPULARLY KNOWN AS “GC” GC IS AN ELITE GROUP OF 5 INDIVIDUALS KNOWN FOR THEIR INTELLECT, PERFORMANCE AND DEDICATION TOWARDS EXCELLENCE IN EVERY FIELD THEY STEP IN About Us Shivam Sharma , Pankaj Kataria ,Piyush Gangwani Gaurav verma Prashant Singh kanwar 2 GC

Add a footer 3 GC Ruchi Soya industries is in the sector of Edible oils and solvent extraction. It has 23 manufacturing units all over India which altogether have a refining capacity of over 11,000 tonnes per day. It has extensive distribution network and a large sales force in India has enabled the company to have smooth operations. Ruchi soya has access to exclusive procurement rights to over two lakh hectares of land in India with a potential of palm oil cultivation. INTRODUCTION

Add a footer 4 GC PRODUCT OFFERED BY RUCHI SOYA Mahakosh Oil Ruchi Star Soybean Oil Sunrich oil Vanaspati Ruchi gold oil Bakery fats Nutrela oil Nutraceutical division Nutrela soya foods Market Capital (in cr) Current Stock Price (in Rs ) 34,028 1,048 52 Week Low 52 Week High 671 1376

Add a footer 5 GC Ruchi Soya FPO Details : IPO Opening Date IPO Closing Date Mar 24, 2022 Mar 28, 2022 Issue Type Face Value Book Built Issue FPO ₹2 per equity share IPO Price Band Market Lot Min Order Quantity ₹615 to ₹650 per equity share 21 Shares 21 Shares Listing At Issue Size BSE, NSE Eq Shares of ₹2 (aggregating up to ₹4,300.00 Cr) QIB Shares Offered Retail Shares Offered NII (HNI) Shares Offered 50% of the net offer 35% of the net offer 15% of the net offer

Add a footer 6 GC RUCHI SOYA FPO TENTATIVE TIMETABLE AND LOT SIZE IPO Open Date IPO Close Date Mar 24, 2022 Mar 28, 2022 Basis of Allotment Date Initiation of Refunds Apr 5, 2022 Apr 6, 2022 Credit of Shares to De-mat Account IPO Listing Date Apr 7, 2022 Apr 8, 2022 Application Lots Shares Amount (Cut-off) Minimum Maximum 1 14 21 294 ₹13,650 ₹191,100 DO YOU KNOW???

Add a footer 7 SHAREHOLDING PATTERN (%) GC

Pre-Insolvency/Financial Stress Castor Seeds Trading (20% Cash Loss) ₹50,000/MT increase in Castor Seeds. Weak global demand. Domestic and National Price Disparity. Low Capacity Utilisation Combined 67% in 2015. 35% in 2017. Crushing Business Dropped . 23% in 2015 to 13% in 2017. Soybean cultivation reduced. Inadequate Working Capital Volume-driven business. Add a footer 8 GC

Add a footer 9 TOTAL CLAIM IN THE MARKET 2761 CR 9384 CR TOTAL : 12,145 CR OPERATION CREDITORS FINANCIAL CREDITORS GC

Add a footer 10 Which banks gave loan to Ruchi Soya before their Insolvency? GC BANK AMOUNT (IN CR) SBI 1876 CENTRAL BANK OF INDIA 844 PNB 751 STANDARD CHARTERED BANK 608 DBS BANK 243 TOTAL FINANCIAL CREDIT : 9,384 CR MAJOR BANK’S CONTRIBUTION : 4,322 CR

REVENUE (RSIL) Add a footer 11 Palm Plantation Oil Extraction Oil Refining 90 depots 4000+ Distributors 3.7 Million MTPA 3.3 Million MTPA GC

BIDDERS AND EMDs Add a footer 12 APPLICATIONS 28 1 ST ASK FOR EMD 24 2 ND ASK BY EMD 4 FINAL BIDDERS 2 GC

RUCHI SOYA TREND 2019-22 Ruchi Soya acquired by Patanjali. GC

Add a footer 14 THE RED FLAGS GC

2017 2019 2020 2021 2021 2022 With over ₹12,000 cr debt, Ruchi Soya dragged into Insolvency and Bankruptcy Code Proceedings. Patanjali Ayurveda acquires Ruchi Soya through the National Company Law Tribunal process for ₹4,350 cr. Share prices climbed up to ₹1500 from ₹5 per share with upper circuit rally, no sellers in the market. Debt was down to ₹3,300 cr after business again started progressing. Ruchi Soya reports Revenue of ₹16,318 cr and net profit of ₹680.77 cr. Recently on 9 th April Ruchi Soya repaid its dues amounting 2,925 cr and has become a debt free company. CONCLUSION GC

Thank You SHIVAM SHARMA PANKAJ KATARIA PIYUSH GANGWANI PRASHANT SINGH 16 GAURAV VERMA GC