Vedanta Stock Plummets on Promoter Stake Sale: Shares Fall Nearly 6% Amid ₹2,149 Crore Block Deal
Vedanta Ltd. shares saw a significant decline in early trading on Tuesday after news of a large-scale block deal transaction involving promoter stake dilution emerged. The stock fell nearly 6 percent as it traded at approximately ₹288 in morning deals. This sharp correction followed the previous closing price of ₹305.85, indicating strong market reaction to the sale.Details of the Block Deal Transaction
The trading activity involved a substantial transaction of roughly 7.3 crore Vedanta shares through block deals. These shares represented approximately 1.8 percent of the company's total equity base. The estimated value of this single block deal was around ₹2,149 crore.The specific terms of the transaction saw these shares exchanged at a price of ₹292 per share during the block deals. While the identities of the buyers and sellers were not immediately disclosed, the magnitude of the trade has impacted investor sentiment toward the stock.
Market Expectation and Promoter Stake Dilution
This sale comes after previous reports had already flagged potential stake reduction by promoter entity Twin Star Holdings. Earlier coverage suggested that up to 6.5 crore shares could be sold via block trades by the entity.The reported floor price in that prior instance was ₹291 per share, which represented a discount of about 4.9 percent against Monday's closing value. The confirmed sale confirms market participants' expectations regarding promoter stake dilution by Twin Star Holdings, Vedanta’s largest shareholder.
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