The Board of Directors ("Board") of Patanjali Foods Limited ("Company"), at its meeting held on April 26, 2024, discussed the initial proposal received from Patanjali Ayurved Limited ("PAL") for a sale of PAL's non-food business undertaking to the Company.
The Board accorded its in-principle approval for evaluating the most efficient mode of enhancing synergies with PAL's non-food portfolio in any manner on an arm's length basis. It also authorised officials of the Company to carry-out due diligence, appoint professionals, negotiate the terms and conditions of the proposal, and report the findings to the Audit Committee and the Board for further consideration.
To strengthen its product portfolio, the Company acquired biscuits business of Patanjali Natural Biscuits Private Limited for Rs. 60.03 crore in May, 2021. The Company also acquired Noodles and Breakfast cereals business for Rs. 3.50 Crore in June, 2021 and food business in May, 2022 for Rs. 690 crore from Patanjali Ayurved Limited.
The proposal received from PAL may offer synergies to the Company's product portfolio with an array of brands and contribute to the growth in terms of revenue and EBITDA.
Shares of Patanjali Foods Limited was last trading in BSE at Rs. 1577.80 as compared to the previous close of Rs. 1518.55. The total number of shares traded during the day was 59884 in over 3438 trades.
The stock hit an intraday high of Rs. 1604.95 and intraday low of 1508.50. The net turnover during the day was Rs. 93754101.00. |
