Avantha sells 8.3% stake in Cromptonhttps://indianexpress.com/article/business/business-others/avantha-sells-8-3-stake-in-crompton/

Avantha sells 8.3% stake in Crompton

Analysts said selling in the counter intensified after reports that the promoter firm intends to offload stake via block deals.

Avantha Holdings has raised Rs 1,002 crore by offloading 8.3 per cent of equity in Crompton Greaves, via a bulk deal on NSE on Thursday. Avantha, which is the holding company of Crompton Greaves, sold 5.2 crore shares at Rs 192.61 per share, data showed.

Goldman Sachs Singapore PTE and Merrill Lynch Capital Markets together purchased shares worth Rs 332 crore. Goldman Sachs acquired 1.13 crore shares at Rs 192.11 per share. Merrill Lynch Capital Markets bought 60 lakh shares at Rs 192.

Post the share sale, Avantha Holding’s stake will drop to 32.54 per cent from 40.84 per cent earlier. Avantha’s current stake in the company is valued at Rs 3,909.5 crore as of Thursday’s closing price on NSE. Analysts said selling in the counter intensified after reports that the promoter firm intends to offload stake via block deals. However Avantha Holdings said, “This is a one-time transaction by the holding company to reduce debt.” FE