Patanjali Meals Ltd. rose to a file excessive on Tuesday after its board accredited the acquisition of Patanjali Ayurved Ltd.’s whole non-food enterprise for Rs 1,100 crore.
The non-food enterprise of sister firm Patanjali Ayurved consists of haircare, skincare, dentalcare, and homecare, in response to an alternate submitting. The full acquisition quantity shall be paid in 5 tranches of 20%, 20%, 45%, 10%, and 5%, the submitting stated. The transaction falls beneath the related-party transaction class as Patanjali Meals is likely one of the promoters of Patanjali Ayurved.
As a part of the deal, the corporate may even purchase Patanjali Ayurved’s moveable belongings, immovable properties, assumed liabilities, contracts, licenses, books, and information, the alternate submitting stated. This acquisition will doubtless enhance the product portfolio of Patanjali Meals.
Nevertheless, the Securities and Trade Board of India should approve the acquisition.
The corporate has additionally entered right into a license settlement with Patanjali Ayurved to acquire rights to make use of the latter’s licensed mental properties, in response to an alternate submitting on Monday.