NEWS & TRENDSPatanjali Foods promoter announces OFS at Rs 1,000 apiece, a steep 18% discount

Patanjali Foods promoter announces OFS at Rs 1,000 apiece, a steep 18% discount

Patanjali Foods declared a two-day offer for sale (OFS) on Wednesday by promoter Patanjali Ayurved Limited at a floor price of Rs 1,000 per share, a steep 18.36% reduction to its BSE closing price of Rs 1,225 on Wednesday. 

Patanjali Foods said in a stock exchange filing that the promoter is proposing to sell up to 25,339,640 equity shares with a face value of Rs 2 apiece, representing 7% of the company’s total paid-up equity share capital. In the case of oversubscription, there would be a provision to sell up to 7,239,897 shares, representing 2% of the total paid-up equity share capital. In this situation, the total OFS might be as high as 32,579,537 shares . 

Patanjali Ayurved had a 39.37 percent ownership in Patanjali Foods as of June 30. Overall, the promoter group possessed 29,25,76,299 shares, or 80.82 percent of the corporation, which is greater than the minimum public shareholding norm of 75%. 

Patanjali Foods stated that the seller is making the offer in order to achieve the minimum public shareholding.

Patanjali Foods

The OFS will be held during trading hours on a separate window of the stock exchanges, beginning at 9:15 a.m. and ending at 3.30 p.m. (Indian Standard Time). 

On July 13, only non-retail investors would be permitted to put bids. Non-retail investors may signal their readiness to carry forward their unallocated bids to T+1 day for allocation to them in the unsubscribed portion of the retail category when placing their bids.

“Those investors other than retail investors who have placed their bids on T day and have chosen to carry forward their un-allocated bids to T+1 day shall be allowed to revise their bids on T+1 day, as per the SEBI OFS circular,” Patanjali Foods said. 

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