NEW DELHI: The Baba Ramdev-led Patanjali Ayurved has mapped out aggressive growth plans for Ruchi Soya, which it acquired last year out of bankruptcy. These include an exports boost, hiring celebrities to endorse the brand and transforming the commodity company into a fast-moving consumer goods company. Work has already begun to double export revenue to Rs 1,000 crore over the next three years and Ruchi Soya will be a debt-free company “in not more than two years”, Baba Ramdev, non-executive director, Ruchi Soya told The New Indian Express in an exclusive interaction on Friday.
“We have big plans for Ruchi Soya in the coming days and have taken it as a challenge to turn around the company and run a listed corporate entity despite all the criticism. We are already exporting to over 36 countries now and we now see an export revenue of Rs 1,000 crore achievable in three years,” Baba Ramdev said.
As on March 31, 2021, the company's export revenue was Rs 404.98 crore. Patanjali will also focus on promoting natural and healthy oil in the market and plans to take a major step towards large-scale palm oil plantation and maximise production of mustard oil in India, which will help save foreign currency worth Rs 2.5 lakh crore, he added.
For the first time, the company will also rope in celebrities for Ruchi Soya as well as Patanjali. “We are in the last leg of signing contracts with one sportsperson and another Bollywood celebrity, with a huge fan following, to promote our brands. It should be finalised in the next week,” he added. He, however, did not reveal the names.
On questions raised on tax exemptions, he said, “We have donated crores for scientific research, and we are happy that the government has recognised the efforts of the trust which will be beneficial not just for our company but for the entire nation. The tax exemption for five years will give a boost to our future donations.” Patanjali Ayurved plans to donate another Rs 1,000 crore to Patanjali Research Foundation Trust over the next few years.
Patanjali Ayurved is in the process of selling Rs 4,300 crore worth of stake in Ruchi Soya to meet the minimum shareholding norms and pare the edible oil maker’s debt. The norms of market regulator Securities and Exchange Board of India (Sebi) mandate companies coming out of insolvency resolution to achieve public shareholding of 10 per cent and a further 36 months to reach 25 per cent public shareholding.
“We have time till December 2022 so we are looking to liquidate Ruchi Soya shares in two phases,” Ramdev added. The company has filed a draft red herring prospectus with the market regulator and is awaiting Sebi approval which is expected to come in 10-15 days.