Baba Ramdev aboard Ruchi Soya; brother Ram Bharat will be MD
NEW DELHI : Yoga guru Swami Ram Dev, his younger brother Ram Bharat and his close associate Acharya Balkrishna will sit on the board of directors of Nutrela soy food brand, Ruchi Soya, recently acquired by Patanjali Ayurved.
In a notice to shareholders, Ruchi Soya Industries Ltd requested approval for the appointment of Ram Bharat, 41, as the company’s chief executive.
As a result of a consortium of Patanjali Ayurved Limited, Divya Yog Mandir Trust (through his company, Divya Pharmacy), Patanjali Parivahan Private Limited and Patanjali Gramudhyog acquiring Ruchi Soya in insolvency proceedings last year, the new management was given the right to appoint the board of directors, the opinion said.
The board of directors of the company, at its meeting on August 19, 2020, appointed Shri Ram Bharat as the general manager of the company with effect from August 19, 2020 to December 17, 2022 and his appointment was changed as director full-time to managing director, ”he said.
Shareholder approval is now being sought for the appointment.
Bharat will receive a salary of Re 1 per year, according to the notice.
In addition, 48-year-old Acharya Balkrishna was reappointed as chairman of the company. He too will be paid Re 1 per year.
The notice also called for the appointment of Ramdev, 49, as a director of the company’s board.
In addition, Girish Kumar Ahuja, Gyan Sudha Misra and Tejendra Mohan Bhasin are appointed independent directors of the board.
Ramdev’s Patanjali Ayurved last year paid off ₹4.350 crore to take over Ruchi Soya. The acquisition helped Patanjali acquire edible oilseeds as well as soybean oil brands such as Mahakosh and Ruchi Gold.
In December 2017, the National Company Law Tribunal (NCLT) ordered the opening of insolvency proceedings against Ruchi Soya to recover the unpaid loans.
Out of ₹4350 crores donated by the Patanjali group, ₹4235 crore was used to pay creditors while ₹115 crore was used for capital expenditure and working capital requirements of Ruchi Soya.
Patanjali won the bid to acquire Ruchi Soya after Adani Wilmar, which sells edible oil under the Fortune brand, withdrew from the race citing significant delays in the resolution process that led to the deterioration of assets.
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