Scripps, which was trading higher, however, rose 7.84 per cent to Rs 1,168 on the BSE so far.
As on March 31, Patanjai Ayurveda has a 39.37 per cent stake in Ruchi Swat. Acharya
Patanjali Ayurveda, a promoter and chairman of Ruchi Soar, holds 98.5 per cent of the paid-up equity share capital.
Patanjali Ayurveda’s food retail business included manufacturing of some food products, packaging labeling and retail business, as well as manufacturing factories located in Maharashtra, Haridwar and Newasa. The deal has been made as a matter of concern on the basis of recessionary sales, Ruchi Sowa said in a filing on the BSE.
The annual turnover of the business stood at Rs 10,605 crore, the company said.
Patanjali Ayurveda has a large portfolio of food business, which has grown by more than 15 percent in the last few years.
Management has told ET NOW that it is consistently striving to reach double-digit Ebitda growth on a consolidated basis.
The FMCG component of the business will now double with the inclusion of Patanjali Food Portfolio, ET told Now Management.