Stocks

Promoters stake sale at huge discount sinks GMM Pfaudler shares

Internet Desk | Updated on September 22, 2020 Published on September 22, 2020

Locked in a lower circuit of 10 per cent at ₹4,682.70.

The shares of GMM Pfaudler on Tuesday came under heavy selling pressure and locked in a lower circuit of 10 per cent at ₹4,682.70.

Earlier, the company had announced the promoters Pfaudler Inc, Millars Machinery Co Pvt Ltd and Urmi Patel, will sell up to 17.59 per cent stake or 25.7 lakh crore shares in GMM Pfaudler Ltd through an offer-for-sale. The floor price has been set at ₹3,500 a share, which is almost 33 per cent discount to Monday's closing price on the NSE.

 

The offer for sale will open for non-retail investors on Tuesday, and for retail investors on Wednesday, the company further said.

The promoters also retained the option of selling an additional 10.41 per cent stake or 15.21 lakh shares in case the oversubscription option is exercised. The three promoters currently own 65.84 per cent stake in the company. If it manages to sell all the stake, then the deal will be worth around ₹1,400 crore.

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Published on September 22, 2020
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