Ruchi Soya Industries said global private equity player Devonshire Capital will buy 51% of the company and 100% of certain of its 'branded packaged oils distribution business'.\r\n\r\nThe money will be substantially utilized for payment to all lenders over a period of time, it said.\r\n\r\nDevonshire will pay Rs 4,000 cr for the branded packaged oils distribution business. \r\n\r\nIn addition, it will invest more money to take a 51% controlling stake in Ruchi Soya Industries, which is a listed entity in India.\r\n\r\nThis will include issue of fresh equity by the company, the food company said.\r\n\r\n\u201cThis strategic investment by Devonshire will enhance the value of our business and provide an effective solution to resolve our outstanding issues with the banks, financial institutions and operational creditors. We are optimistic on an early completion of this restructuring exercise after all necessary approvals of the lenders and legal formalities," said Managing Director & CEO Dinesh Shahra.\r\n\r\nThe branded packaged oils distribution business will be spun out before being acquired by Devonshire for Rs 4,000 cr. The amount will be paid to Ruchi Soya in various tranches.\r\n\r\nThe deal will require the approval of all lenders, in addition to regulatory formalities.\r\n\r\nDevonshire Capital is a privately owned independent Asian based merchant banking organization spread throughout the Asia Pacific region. \r\n\r\nThe Devonshire Group is focused on investing in companies focused on consumer led businesses and with a strong market share. \r\n\r\nSince 1995, Devonshire Capital has mobilized a combined investment value of over $10 billion in cross border transactions with a primary focus on Asia. \r\n\r\nDevonshire Capital\u2019s major deals include advising ING Bank in a US$800 million acquisition of one of Thailand\u2019s largest banks, TMB Bank and acquiring Low Carbon Investors, an AIM quoted investment fund.\r\n\r\nRuchi Soya is India\u2019s leading Agri and Food FMCG Company with a turnover of USD 3 billion. \r\n\r\nIt enjoys leadership position in soy foods category in India and is one of India's largest players in the cooking oils segment of the country. \r\n\r\nIts brands include Nutrela, Mahakosh, Sunrich, Ruchi Gold and Ruchi Star. \r\n\r\nIt is also among the pioneers of oil palm plantations in India and one of the highest exporters of value added soybean products like soy meal, textured soy protein and soy lecithin. \r\n\r\nRuchi Soya has also diversified into renewable energy.\r\n\r\nThe company has been under a heavy debt load.