GMM Pfaudler's Stock Falls Over 18% After Large Trade
The stock dropped as much as 18.11% to Rs 1,576.1 per equity share.
Shares of GMM Pfaudler Ltd. declined the most in three years on Friday following a large block trade.
Pfaudler Inc., the promoter of the company, is looking to sell a majority stake in the company in a block deal for Rs 2,278 crore, according to a media report published on Dec.15.
The report added that the promoter company is selling 1.34 crore shares, or 29.88% of the company, at a floor price of Rs 1,700 per share.
Pfaudler Inc. holds a 31.88% stake in the company, according to BSE data as on Sept. 30, 2022.
The stock dropped as much as 18.11% to Rs 1,576.1 per equity share before closing 14.56% lower at Rs 1,644.5.
The total traded quantity is 100.1 times the 30-day average.
At least 16% of equity, or 72.4 lakh shares, traded hands in at least one bunched trade, according to Bloomberg data.
All five analysts who are tracking the stock maintained a 'buy' rating. The 12-month average consensus price target implies an upside of 53.7%.
The relative strength index stood at 28, indicating that the stock might be oversold.