Vedanta Ltd’s stock plummeted nearly 7% at break-neck speed on Thursday after a massive block sale of the conglomerate’s shares hit the market.
What Happened? Twinstar, one of the promoter entities of Anil Agarwal-led Vedanta, had been reported to be considering the sale of 16 crore shares, or 4.3%, of the company via block deals, CNBC Awaaz reported, citing sources.
The floor price for the transaction, valued at $500 million (₹4,130 crore), was reportedly set at ₹258.5, a 5% discount on the stock’s last closing price.
Vedanta’s block deal comes just a week ahead of promoter Vedanta Resources’ repayment deadline for around $30 million (₹250 crore). The company has been battling massive debt after the sale of its zinc-mining unit to its subsidiary, Hindustan Zinc, fell through and its semiconductor manufacturing plans hit a roadblock.
Price Action: Vedanta shares cratered 6.96% to ₹253.20 in early trade on Thursday.
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