Shares of Sona BLW Precision Forgings Ltd. slumped after global investor Blackstone Inc. trimmed its stake in the automotive technology company.
In early trade, Sona BLW had about 9.6 crore shares change hands in 22 bunches, according to Bloomberg data. That equals to about 16% of its total equity.
On Wednesday, as per terms of the deal reviewed by BQ Prime, Blackstone Inc.'s unit Singapore VII Topco III Pte. planned to raise Rs 3,971.7 crore by selling up to 13.59% stake in Sona BLW via bulk deals.
The promoter group had offered to sell 6.35 crore shares or 10.87% stake in the company at a floor price of Rs 500 apiece, a 7.3% discount on Wednesday’s closing price.
The offer also carries an upsize option of 1.58 crore shares, representing an additional 2.72%.
As on June 30, Blackstone -- through its Singapore unit -- held a 34.12% stake in the auto components maker.
Shares of the Sona BLW fell as much as 6.3% before closing 3.9% lower on Thursday. Of the 15 analysts tracking the company, seven maintain a 'buy', two suggest a 'hold', while six recommend a 'sell', according to Bloomberg data. The 12-month consensus price target implies an upside of 20.6%.
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