Fake News Alert!
Do you guys remember the Ruchi Soya FPO story we did a few days back? You can read it here in case you forgot.
Well, the story today is that in a very unusual move, SEBI has allowed people to withdraw their bids from the FPO.
An FPO is similar to an IPO in that the company uses it to raise money from the public. The main difference is that the company is already publicly listed.
Now people who wanted to buy shares in the FPO had submitted their bids (much like what you do for an IPO), but apparently, there has been a lot of misleading advertising going on about this offer.
There are unsolicited SMS messages doing the rounds which contain false and fraudulent information about the company, so SEBI wants to protect investors who may want to invest after reading them.
SEBI has also asked the company to issue ads in newspapers warning people against these fakes messages.
Not the first time
This is not the first time Patanjali-owned Ruchi Soya has landed in this sort of trouble. Last year, yoga guru Ramdev had told a group of followers that buying Ruchi Soya stock was a 'Mantra for becoming a Crorepati’
Ruchi Soya's Rs 4,300 crore FPO was subscribed 3.6x on the final day (yesterday), but now there will be a window for people to withdraw their bids.