Ruchi Soya Industries spurts 5% after disposing off and transferring shares of subsidiary

Ruchi Soya Industries Limited disposed off and transferred the shares of Ruchi Worldwide Limited, a subsidiary company in favour of Sanatan Multi Skill Development and Education Private Limited on November 23, 2020.

The company at its meeting held on March 27, 2020, had decided to dispose off investments in subsidiaries to the identified entity which would hold the same for beneficial liquidation. This was as per the Resolution Plan approved by National Company Law Tribunal, Mumbai Bench.

“The net worth of Ruchi Worldwide Limited was (-) Rs1,009.68cr as at March 31, 2019. The Share Purchase Agreement with buyer for disposal of 99,40,700 equity shares of Rs10/- each was executed on March 27, 2020. Out of the above 99,39,200 equity shares were transferred in favour of Buyer on November 23, 2020.

As per the valuation report from independent valuer, the fair value of shares of Ruchi Worldwide Limited was negative. Hence the shares were sold for a consideration of Rs100/- only,” company said in a regulatory filing on Tuesday.