India Infoline jumps on stake sale buzz

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The shares of financial services firm India Infoline rose more than seven per cent on Tuesday on market buzz that the promoters were in talks to sell 12 per cent stake to Barclays Capital. The stock, which opened at Rs 100 on the Bombay Stock Exchange (BSE), touched a high of Rs 108 during the day’s trade. It closed up 7.49 per cent, or Rs 7.45, at Rs 106.85.

Close to 2.65 million shares were traded on BSE, more than double the two-week average. On the National Stock Exchange, 6.45 million shares were traded, with a turnover of Rs 66.91 crore. “There is market talk that India Infoline promoters are planning to sell 12 per cent stake to Barclays Capital at Rs 120-125 per share,” said a broker. Chairman Nirmal Jain dubbed this as “completely baseless.” He denied that promoters were planning to sell their stakes.

As of June 30, the promoter and the promoter group had 31.89 per cent stake in India Infoline.