ITC block deal: Shares of ITC Limited declined 4% in early trade on Wednesday, May 28, following multiple block deals in the counter, wherein British American Tobacco (BAT) likely offloaded a 2.6% stake in the diversified conglomerate, worth nearly ₹14,000 crore.
According to media reports, 33.25 crore shares, representing a 2.57% stake in ITC, changed hands via six block deals at ₹417 apiece, amounting to approximately ₹13,900 crore. However, the official details of the parties involved in the block deal will likely be known post-market trading hours today.
This block deal size was higher than the 2.3% stake BAT said it intended to sell. Despite the stake sale, BAT will remain ITC’s largest investor post-disposal, with a 23.1% stake.
A Reuters report on Tuesday said BAT is selling up to 290 million shares in the deal, at a floor price of ₹400, a discount of 7.8% to ITC stock’s closing price.
