Adani Wilmar's stock drops as the promoters intend to reduce their ownership to comply with SEBI regulations

26 Dec 2023 , 11:13 AM

Early on December 26, Adani Wilmar shares saw a decline following the promoter group’s announcement that it will reduce its ownership of the Fortune Oil manufacturer.

‘Adani Commodities LLP and Lence Pte Ltd, the promoters of the company, have conveyed to us their intention to sell the equity shares to enable us to comply with minimum public shareholding norms,’ the company stated in a filing it made with the bourses on December 22.

Up to 1.24% of the company’s total paid-up equity share capital, or 16.11 lakh equity shares, would be sold by the promoters. The promoters should receive about Rs 58.8 crore from the sale if the shares are sold at the CMP of Rs 365.05 each.

The promoters’ total holding, at 87.94%, has not altered throughout the course of the quarters, according to the shareholding data for the July–September quarter. According to Sebi regulations, the promoters may own up to 75% of a listed firm; the remaining 25% may be offered for public sale.

Following three years of listing, companies are required to comply with this. According to Adani Wilmar, the current proposed divestment will take place between December 26, 2023, and January 31, 2024, or until the sale of all equity shares is completed, whichever comes first. There will be one or more tranches to the transaction.

Adani Wilmar has until February 7, 2025, to fulfil the requirements of a 75% stake in the company since it made its debut on the exchanges on February 8, 2022.

As of September, FIIs and DIIs held less than one percent of the company apiece, while the public had 11.4%.

For feedback and suggestions, write to us at [e-mail]