Emami shares zoom nearly 15 per cent as promoters sell stake

PTI

Published : Feb 19, 2019, 5:40 pm IST

Updated : Feb 19, 2019, 5:43 pm IST

The company's shares advanced 14.80 per cent to close at Rs 407.60 on BSE.

New Delhi: Shares of Emami Ltd zoomed nearly 15 per cent on Tuesday after the group said its promoters have sold 10 per cent stake in the flagship firm for around Rs 1,600 crore.

The company's shares advanced 14.80 per cent to close at Rs 407.60 on BSE. During the day, it jumped 17.64 per cent to Rs 417.70. At NSE, shares zoomed 12.58 per cent to close at Rs 407.50. On the traded volume front, 12.16 lakh shares were traded on BSE, while over 80 lakh on NSE.

The transaction was executed on stock exchanges on Monday and the purchasers included SBI Mutual Fund, PremjiInvest, Amundi, IDFC, L&T Mutual Fund and others, the group said in a statement.

The stake sale proceeds will be used to pare promoter debt which was used in creation of assets like cement and solar power among others, it added.

The conclusion of the stake sale will ease liquidity position of the promoter group and reduce the debt, Emami Ltd Director Mohan Goenka said.