Shares of Patanjali Foods fell 3.91 per cent in Wednesday’s trade to hit a low price of Rs 1,556.80. Today’s drop in the stock price came after the Supreme Court barred Patanjali Ayurved from publishing advertisements for its traditional ayurvedic medicines that claim to cure some diseases. Patanjali Foods (formerly known as Ruchi Soya) is a part of Patanjali Ayurved, co-founded by yoga teacher Ramdev.
The top court’s order was issued in an ongoing legal dispute with the Indian Medical Association (IMA), which has accused Patanjali of allegedly disparaging other forms of conventional medicines.
The court said Patanjali violated its assurance to judges last year in the ongoing case that it would not publish advertisements that make “casual statements claiming medicinal efficacy”.
Patanjali Foods, in a BSE filing, stated that the SC order does not relate to it. “The observations of Hon’ble Supreme Court of India do not relate to Patanjali Foods Ltd which is an independent listed entity and operates in the space of edible oil and food FMCG products only.”
The observations don’t have any beating on the regular business operations or the financial performance of the FMCG company, it added.
At today’s low price of Rs 1,556.80, Patanjali Foods’ stock was down 10.58 per cent from its one-year high price of Rs 1,741, a level seen earlier this month on February 16.
