L&T Finance Holdings Surges as Bain Capital Trims Stake in Block Deal

12 Sep 2023 , 12:10 PM

L&T Finance Holdings experienced a significant 3 % surge in its shares on September 12. The surge follows a notable block deal involving 7 crore shares, equivalent to a 2.8 % stake, on the stock exchanges.

The parties involved in the block deal have not been disclosed, but there are indications that Bain Capital is considering reducing its stake in the non-bank lender. Bain Capital holds this stake through two entities, BC Asia Growth Investments, and BC Investments Vi.

Sources suggest that the block deal could amount to approximately $102 million or Rs 850 crore, reducing Bain Capital’s cumulative stake from 4.04 % to around 1.44 %. Interestingly, Bain Capital’s remaining stake will be subject to a 90-day lock-in period after the block deal, preventing further share reduction during this period.

This development has sparked interest among investors and market observers, highlighting the dynamic nature of financial markets. As always, it’s prudent to seek advice from certified experts before making investment decisions, given the volatility and rapid changes in the market landscape.

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