Baba Ramdev’s Patanjali eyes stock market debut of 4 group companies
Since Patanjali was established in 2006, Baba Ramdev, a father’s surname whose TV yoga shows are viewed by tens of millions of people, has served as its model ambassador. His bearded face can be seen grinning down from countless billboards and signboards in Indian towns.
According to Patanjali, Patanjali Ayurved, whose majority ownership is held by Acharya Balkrishna, a business partner of Ramdev’s with a net worth of $2.1 billion, would be listed on the stock market.
Products made in India by Patanjali Ayurved, including personal care items, cooking ingredients, and tablets to boost immunity, have a significant impact on Prime Minister Narendra Modi’s drive for locally produced goods in the country.
The company has made an effort to wrest market share from consumer behemoths Unilever, Colgate Palmolive (India), and Proctor & Gamble Hygiene and Wellness Care in the pure sector. Only one of the group companies, Patanjali Meals Ltd., is now listed on the stock exchange. The company was acquired by the organization in 2019 and rebranded as Patanjali Foods this year.
As part of its strategy for 2027, the well-known yoga teacher and co-founder of the Indian consumer conglomerate Patanjali, which makes inexpensive, locally produced items, announced on Friday that it intends to list four of its group companies.
The majority owner of Patanjali Ayurved, the principal producer of consumer goods, is Acharya Balkrishna, a partner in business with Ramdev who has a net worth of $2.1 billion, according to Forbes. Patanjali announced that it would float the company.
Products made in India by Patanjali Ayurveda, such as immunity-boosting medicines, food ingredients, and personal care items, benefit greatly from Prime Minister Narendra Modi’s push for locally produced goods in the nation.
The company has made an effort to overtake consumer behemoths Hindustan Unilever, Merck Palmolive (India), and Procter & Gamble Hygiene and Wellness Care in the natural section of the market.
At the moment, just one of the group firms, Patanjali Foods Ltd., is traded publicly. Ruchi Soya Industries, a producer of edible oils, was acquired by the group in 2019 and renamed Patanjali Foods this year.
According to Patanjali, it will also market its healthcare and lifestyle businesses. Baba Ramdev, a well-known figure whose television programs on yoga are seen by millions of people, and whose bearded visage beams down from posters and hoardings omnipresent in villages, is the brand ambassador of the company, which was founded in 2006.
According to Patanjali, it would include Patanjali Ayurved most of which is held by Acharya Balkrishna, a partner in business with Ramdev who, according to Forbes, has a combined wealth of $2.1 billion.
At a media briefing in New Delhi, Ramdev stated, “We have resolved to make sure that the work of Patanjali is documented in gold letters when the hundredth year of freedom is celebrated in 2047.
Ramdev, who is regarded as a vocal advocate of Prime Minister Narendra Modi, stated that Patanjali wanted to increase group turnover from $5 billion to $12.53 billion in the following five to seven years.
Products from Patanjali Ayurved, such as immunity-boosting tablets, cooking ingredients, and personal care products, benefit greatly from Modi’s drive for products made in India. Patanjali Foods Ltd. is the sole group company that is currently listed. Ruchi Soya Industries, a producer of edible oils, was acquired by the group in 2019 and renamed Patanjali Food this year.
Patanjali Yogpeeth will spend more than Rs 1,000 crore in Dehradun to improve public health and highlight the state’s rich culture, according to Ramdev, who made the announcement earlier this week (on September 14). The founder of the Patanjali Yogpeeth declared in Gangotri that he would work to make Dehradun the spiritual and cultural center of the globe.
Patanjali Meals Ltd. is the only group company that is currently listed on the stock exchange. The company was acquired by the organization in 2019 and given the moniker Patanjali Meals this year.
Patanjali stated that it will also document its medical, wellness, and lifestyle models. (Tanvi Mehta reported; Raju Gopalakrishnan added enhancements.) Patanjali Foods Limited (formerly Ruchi Soya) has been given coverage by HDFC Securities with a “buy” rating and a price target of Rs 1,602. Investors should consider purchasing the company with a time scale of two or three quarters, according to the brokerage firm.
“The company’s acquisition of Patanjali’s whole food portfolio has further strengthened the strong competitive edge that Patanjali Foods Ltd. enjoys due to parentage given its powerful brand equity, pan-Indian distribution network, skills, and product synergies. According to HDFC Securities, “over the medium to long term, we anticipate the company to undergo a metamorphosis from a commodity-based business to a sizable FMCG & Wellness company.”