Patanjali Foods Share Price: Rs 1100 crore acquisition approved by CCI – Details
Patanjali Foods has received approval from the Competition Commission of India (CCI) to acquire its parent company Patanjali Ayurved’s home and personal care business in a ₹1,100 crore deal. This acquisition, first announced in July 2023, aims to strengthen Patanjali Foods’ position in the FMCG sector. The home and personal care division includes products for haircare, skincare, dental care, and home care. Patanjali Foods is known for its oilseed processing and food products, with a revenue of ₹31,961.62 crore in the last fiscal year.
Edible oil major Patanjali Foods has received approval for the buyout of its parent company-Patanjali Ayurved’s home & personal care business. On Tuesday, October 8., the Competition Commission of India (CCI) cleared the proposed acquisition of the home and personal care business of Patanjali Ayurved by Patanjali Foods in a Rs 1,100 crore deal.
“The proposed combination involves the acquisition of Patanjali Ayurved Ltd’s (PAL) Home and Personal Care (HPC) business division (nonfood business) by Patanjali Foods Ltd (PFL),” said CCI in a release.
Earlier in July, Patanjali Foods announced to acquire Baba Ramdev-led Patanjali Ayurved’s home and personal care business for Rs 1,100 crore, targetting to become a leading FMCG company.
Patanjali Ayurved is one of the promoters of Patanjali Foods. The acquisition falls under related party transactions being undertaken on a fair value and arms’ length basis, as per a PTI report.
About Patanjali Foods
The company is engaged in processing of oilseeds, production of oil meal, food products from soya, refining of crude oil for edible use, and value-added products from downstream and upstream processing.
Patanjali Foods posted a total revenue of Rs 31,961.62 crore in the last fiscal as against Rs 31,821.45 crore in the preceding year.
About Patanjali Ayurved
On the other hand, Patanjali Ayurved offers a wide range of herbal products.
Its HPC division encompasses products under haircare, skincare, dental care and home care segment.
Patanjali Foods share price today
At the time of writing this article, shares of Patanjali Foods were trading in the positive territory at Rs 1693 per share, up 3.65 points or 0.22 per cent against the previous close of Rs 1689.35 per share. At around 9:30 AM, a total of 720 shares were changing hands against the two weeks’ average quantity of 0.18 lakh shares.
Source Link : https://www.etnownews.com/markets/patanjali-foods-rs-1100-crore-acquisition-approved-by-cci-details-article-114065381
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