Urban Company Shares Surge 13% After SBI Mutual Fund Acquires Nearly 4% Stake
Stock Jumps on Strategic Stake Purchase
New Delhi, March 18: Shares of Urban Company witnessed a sharp rally on Wednesday, climbing over 13 percent after SBI Mutual Fund acquired a significant stake in the company through bulk and block deals.The stock surged 13.20 percent to Rs 124.35 per share on the BSE, while on the NSE it advanced 13.01 percent to Rs 124.43, reflecting strong investor sentiment following the transaction.
SBI Mutual Fund Increases Holding to 5.87%
SBI Mutual Fund purchased more than 5.75 crore shares, representing nearly a 4 percent stake in Urban Company, during trading on Tuesday.The acquisition was executed in the price range of Rs 109.83 to Rs 109.85 per share, with the total deal value amounting to Rs 632.22 crore.
Following this transaction, SBI Mutual Fund’s shareholding in Urban Company increased from 1.89 percent to 5.87 percent.
Existing Investors Offload 4.62% Stake
At the same time, existing investors Wellington Management, DF International Partners, and ABG Capital collectively divested a 4.62 percent stake in the company through separate deals on the stock exchanges.A total of 6,68,41,650 shares were sold by these entities, with the combined transaction valued at Rs 734.39 crore.
Wellington Management, via its affiliate Wellington Hadley Harbor AIV Master Investors (Cayman) III Ltd, sold nearly 3.18 crore shares in two tranches, accounting for a 2.20 percent stake.
On the NSE, DF International Partners, through DF International Partners II LLC, offloaded over 1.76 crore shares, while ABG Capital sold 1.74 crore shares. Together, these accounted for a 2.42 percent stake.
Stakeholding Changes Post Transaction
The shares were sold in the price range of Rs 109.85 to Rs 109.93 per share across both exchanges.Following the stake sale, Wellington Management fully exited Urban Company. DF International Partners’ affiliate also exited, though other affiliates of the firm continue to hold shares in the company. ABG Capital reduced its stake significantly from 1.36 percent to 0.16 percent.
Other Buyers Not Disclosed
Details regarding other buyers involved in the transactions were not available on the BSE.Disclaimer: Due care and diligence have been taken in compiling and presenting news and market-related content. However, errors or omissions may arise despite such efforts.
The information provided is for general informational purposes only and does not constitute investment advice, a recommendation, or an offer to buy or sell any securities. Readers are advised to rely on their own assessment and judgment and consult appropriate financial advisers, if required, before taking any investment-related decisions.