GE T&D India Shares Hit Lower Circuit as Promoters Offload Stake
GE T&D India shares experienced a 5 percent decline on the National Stock Exchange (NSE), reaching an intraday low of ₹1,606.85 per share after promoters began reducing their stakes via the offer for sale (OFS) mechanism.
In a stock exchange filing on Wednesday, the company announced that its promoters, Grid Equipments Private Limited and GE Grid Alliance B.V., plan to divest an 11.7 percent stake through the stock exchange mechanism. Additionally, they retain the option to sell up to 10 million more equity shares (3.9 percent of the paid-up equity share capital) in the event of oversubscription.
The OFS will be open to non-retail investors on Thursday, September 19, 2024, and to retail investors and non-retail investors who wish to carry forward their un-allotted bids on Friday, September 20, 2024.
As of 12:18 PM on the announcement day, GE T&D India’s share price had dropped by 5 percent to ₹1,606.85 per share, while the NSE Nifty index also fell by 70.05 points, settling at 25,447.6.
J.P. Morgan India acts as the sellers’ broker for the OFS, with a floor price set at ₹1,400 per equity share.
Financially, GE T&D India performed robustly in Q1 FY25, with net profit increasing almost six times from the previous year to ₹134.5 crore. The company’s revenue also saw a 34 percent year-on-year growth, reaching ₹958.3 crore.
As of June 30, 2024, Grid Equipments held a 68.54 percent stake while GE Grid Alliance B.V. held 6.46 percent in GE T&D India. Over the past year, the company’s shares have surged by 326.05 percent, outpacing the BSE Sensex’s gain of 22.7 percent.
Published: September 19, 2024 | 1:03 PM IST
Original Story https://www.business-standard.com/markets/news/ge-t-d-stock-hits-5-lower-circuit-as-promoters-begin-stake-sale-via-ofs-124091900503_1.html
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