Updated January 3rd, 2024 at 17:50 IST
D-Mart's Radhakishan Damani buys 2.22 lakh shares in VST Industries
Radhakishan Damani now holds more than 30% of VST Industries, solidifying his position as a key player in the company's ownership structure.
Damani increases stake in VST Industries: Billionaire Radhakishan Damani, the founder of D-Mart and one of the country's wealthiest individuals, has increased his stake in Hyderabad-based cigarette manufacturer VST Industries. The move involved the purchase of over 2.22 lakh shares through his investment vehicles Derive Trading and Bright Star, resulting in a 1.44 per cent increase in Damani's overall stake, which now stands at 32.14 per cent.
Share purchase details
The shares were acquired at an average price of Rs 3390 per share, as reported by Mint, based on data from the Bombay Stock Exchange (BSE). This strategic move enhances Damani's influence in VST Industries and reinforces his position as a major shareholder in the company.
SBIMF joins acquisition
In conjunction with Damani's share purchase, State Bank of India Mutual Fund (SBIMF) also acquired 2.25 lakh shares of VST Industries at an average price of Rs 3390 per share. The combined transaction value for both entities reached Rs 151.84 crore.
D-Mart's Q3 business update
Simultaneously, Damani's retail giant, Avenue Supermarts, the parent company of D-Mart, released its business update for the third quarter of the fiscal year ending December 2023. The standalone revenue for the quarter amounted to Rs 13,247.33 crore, reflecting a robust 17.19 per cent increase from the corresponding period in the previous year. The disclosure mentioned that the revenue figure is subject to a 'limited review' by statutory auditors.
VST Industries shares witnessed a 20 per cent surge following the block deal involving Damani's acquisition. Meanwhile, HDFC Mutual Fund and DSP Mutual Fund divested a 2.9 per cent stake in VST Industries through open market transactions, totaling Rs 152.55 crore. HDFC Mutual Fund sold 2 lakh equity shares, while DSP Mutual Fund disposed of 2.50 lakh shares in the price range of Rs 3390- Rs 3390.13 apiece.
With the latest stake acquisition, Radhakishan Damani now holds more than 30 per cent of VST Industries, solidifying his position as a key player in the company's ownership structure.
Published January 3rd, 2024 at 17:50 IST