Gruh Finance falls 7.5% after report of promoter stake sale

 (Photo: Reuters)

Mumbai: Gruh Finance Ltd stock fell on Friday after 30.80 million shares, or 4.2% stake of the company, changed hands in a series of block deals, Bloomberg reported. Details of the buyers and sellers could not be ascertained.

Shares of Gruh Finance Ltd opened sharply lower after a Bloomberg report said the promoters of the company would sell 4.2% in the company later in the day.

The stock hit an intraday low of 285.30 and fell as much as 7.5%. However, they later recouped some losses and at 10.05 am, the shares traded 6.4% lower at 288.65, while the benchmark BSE Sensex was down 0.29% at 39624.71 points.

Housing Development Finance Corp. offered 31 million shares of Gruh Finance Ltd. in a placement worth $129 million based on floor price of 290 a share, according to terms for the deal obtained by Bloomberg. Citigroup is the banker to the deal.

As of March, HDFC held 411.56 million shares or 56.09% stake in the company.

According to ETNow, Blackstone, ICICI Prudential Life, and HDFC AMC were among others buyers of Gruh Finance shares.