Singer India Shares Rises 43% After Promoter Sells 22% Stake
According to block deal statistics, RARE Investments, the investment company of the late Rakesh Jhunjhunwala, bought 4.25 million equity shares, or 7.91% of Singer India.
In Wednesday’s intraday trade, Singer India’s shares increased 19% to ₹ 82.50 on the BSE thanks to high activity.
After its promoter sold a 22% stake in the company through open market transactions, the stock of the home appliances company soared 43% over the previous two trading sessions.
Retail Holdings (India) B.V., the promoter of Singer India, sold 12 million equity shares, or 22.34 percent of the firm, on Tuesday, August 16, 2022, for Rs 64.25 crore.
According to market data, the promoter sold shares via block trades at a value of ₹53.54 on the BSE.
Retail Holdings (India) B.V’s ownership of Singer India dropped from 57.65 % to 35.31 % following the acquisition, the company reported.
According to block deal data, on Tuesday, the late Rakesh Jhunjhunwala’s and wife Rekha’s investment company, Rare Investments, purchased 4.25 million equity shares, or 7.91% of Singer India.
In addition to Rare Investments, PGA Securities purchased 2.45 million shares, and data reveals that Gauri Tandon & Veena Kumari Tandon made block purchases of 700,000 shares.
Singer India increased by 19% to Rs 82.30 at 10:41 a.m., outpacing the benchmark index’s 0.5% gain.
4.13 million shares were exchanged at the counter, more than doubling the average 1.96 million shares moved over the previous two weeks on the BSE.
During the recent two-day rally, Singer India’s stock increased by 94%, compared to a 12% increase in the S&P BSE Sensex over the previous month.
Under the renowned “SINGER” and “MERRITT” brands, Singer India has long been a leader in the nation’s sewing machine market.
With more than 10,000 sales locations, including showrooms, a sizable wholesale distribution network, and a highly robust after-sales service network across India, Singer India now also sells many more types of household appliances.
Also Read: Top 10 Most Handsome Singers in the World
Singer India completed the processes for the surrender of lease hold rights to the site on July 13, 2022 after selling its vacant leasehold land and building in Jammu for ₹ 10.4 crore.
The decline in commodity prices is anticipated to have a favorable effect on sales and profits in the upcoming months, according to Rajeev Bajaj, Managing Director of Singer India.
He stated that the prognosis remains bright and the company is in a great position to weather any economic turbulence.
However, the management remains cautious due to the persistent likelihood of recessionary conditions.
