Ruchi Soya acquires good taste

It is after quite some time that we are seeing so much activity on the counter of Ruchi Soya. The stock price today rose almost 14% to Rs.25.30, with volumes going up around 3 times. Its 52-weeklow is at Rs.18.50 and high at Rs.31.80.

The market is very happy with its partnership with Patanjali. The company announced today morning that it has signed an MoU with Patanjali Ayurved for an exclusive sales and distribution arrangement for the entire range of Patanjali edible oils in large packs.

Ruchi Soya would use its own extensive distribution network to sell the complete range of Patanjali edible oils in large packs across all regions of India.

Under the agreement, Ruchi Soya has exclusive distribution rights for the existing as well as the future range of Patanjali edible oils in large packs. The MoU will be followed by the signing of a detailed service agreement for an initial period of three years, similar to the previous processing and packaging agreements concluded between Ruchi Soya and Patanjali Ayurved earlier this year.

Patanjali is eyeing sales of Rs. 20,000 cr by 2020 from its edible oils range of which large packs will constitute a substantial portion.