Shares of Future Retail hit the bottom loop of 10 percent at Rs 146.10 on the BSE on Tuesday on the firm market. The drop comes after foreign portfolio investors (FPI) sold 9.5 million shares of the company through the open market on Monday.
The world’s largest sovereign wealth fund, the Government Pension Fund Global, sold 9.5 million shares, representing 1.75 percent of Future Retail’s shares at Rs 158.61 per share on the NSE, as shown by bulk transaction data. The sovereign wealth fund owned 12.35 million shares, or a 2.28 percent stake in the company at the end of June, the equity pattern data revealed. The names of the buyers were not immediately ascertained.
In the past three trading days, the shares had rallied 38 percent from 117 to 162 rupees on Monday. It has soared 62 percent in nine business days, down from a 0.26 percent rise in the S&P BSE Sensex as of yesterday.
On Saturday August 29, Reliance Industries (RIL) and Future Enterprises announced an agreement whereby Reliance Retail will acquire Future Group’s retail and wholesale, logistics and warehousing business.
“Future Enterprises will subsequently sell through a drop sale the retail and wholesale business that includes key formats such as Big Bazaar, fbb, Foodhall, Easyday, Nilgiris, Central and Brand Factory to Reliance Retail and Fashion Lifestyle (RRFLL), a company of Wholly owned subsidiary of Reliance Retail Ventures (RRVL). It will also sell the logistics and warehouse business to RRVL through a retail sale. RRFLL and RRVL will take care of certain loans and current liabilities related to the business and will discharge the consideration of the cash balance, ”Future Group said in a press release. CLICK HERE TO READ THE FULL PRESS RELEASE.
In addition to Future Retail, Future Enterprises and Future Lifestyle Fashions fell in the 2% to 5% range on Tuesday. However, Future Supply Chain Solutions (Rs 166.50), Future Consumer (Rs 12.65) and Future Market Networks (Rs 29.10) gained in the range of 4% to 5% in the BSE. By comparison, the S&P BSE Sensex was up 0.92 percent to 38.984 points as of 2:17 pm.
First Post: Tuesday, September 1, 2020 2:21 PM IST
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