Promoter Radhakishan Damani sold 6.2 million shares, or 1%, of Avenue Supermarts Ltd this week, according to a plan that was announced last week, the company said in a BSE filing.
On 18 May, Avenue Supermarts, the parent of retail chain D-Mart, had said Damani would sell 1% in the firm, or 6.2 million shares, to ensure the firm gradually moves to meet the minimum public shareholding norms. The 1% stake sale in the D-Mart parent by Damani was to take place between 21 May and 14 June.
Damani sold a total of 6.24 million shares of Avenue Supermarts between 21-24 May, the company said.
On Thursday, Avenue Supermarts shares closed 3.34% higher at Rs1,404.20, in a firm Mumbai market. The stock is up almost fivefold from its offer price, after making its debut in March 2017.
At the end of March, promoters held a total of an 82.2% stake, while the public held 17.8% stake. Of this, Damani held the most— 53.56% stake—while his brother, Gopikishan Damani, had a 39.41% shareholding.
Under rules prescribed by the Securities and Exchange Board of India, a publicly listed firm is required to maintain a minimum public shareholding of 25%. The listed companies have to ensure the minimum public shareholding in three years from the time of listing.
Source: Mint