Why This Large Cap Stock Is Falling Nearly 3% After Investment From US Firm

Shares of JSW Energy tumbled on Thursday after its promoter group sold shares in the open market, much of which were picked up by Rajiv Jain’s GQG Partners.

What Happened: Promoter JSW Investments offloaded 2.10 crore shares, or a 1.27% stake in JSW Energy, according to data available with the BSE.

US-based asset management firm GQG Partners snapped up shares in JSW Energy, acquiring shares worth over ₹982 crore through open market transactions this week, according to data from stock exchanges.

GQG’s latest acquisition took place on Wednesday, when it purchased 1.6 crore shares, equivalent to a 1.01% stake in JSW Energy, at ₹341.7 per share on the BSE, amounting to around ₹571 crore. GQG executed these purchases through six different funds.

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GQG previously acquired 1.1 crore shares of JSW Energy on Monday, representing a 0.7% stake, at ₹345 per share, totaling around ₹411 crore. On the same day, Authum Investment & Infrastructure sold 1.6 crore shares of the company at ₹345 per share.

As of the end of June, JSW Energy’s promoter held a 20.2% stake in the company.

The investment firm has also been bullish on Adani Group stocks, adding to its stake in the group’s companies with successive investments this year.

Price Action: JSW Energy’s share price was down 2.72% at ₹358 at open on Thursday. Some of the easing in share price could be due to profit-taking after the firm’s shares shot up sharply in the previous session.

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Posted In: EquitiesMarketsMoversTrading IdeasGQG PartnersJSW EnergyJSW InvestmentsRajiv Jain