HDFC AMC dips 7% on BSE after 5% equity changes hands via block deals

HDFC Asset Management Company's promoter Standard Life Investment has sought up to Rs 3,000 crore from HDFC AMC share sale, reports say

Shares of HDFC Asset Management Company (AMC) dipped 7 per cent to Rs 2,871 on the BSE in Wednesday’s intra-day trade after 5 per cent equity of the company changed hands on the counter via block deals.

At 09:15 am, around 11.06 million equity shares, representing 5.19 per cent of HDFC AMC's equity, changed hands on the counter on the BSE at a price of Rs 2,878 per share, exchange data shows. The names of the buyers and sellers could not be ascertained immediately.

However, according to a Bloomberg report, HDFC Asset Management Company’s promoter Standard Life Investment had sought up to Rs 3,000 crore from HDFC AMC share sale, according to terms of the deal. The promoter was offering 10.6 million shares in HDFC AMC in an accelerated placement, according to terms of the deal. The floor price was fixed at Rs 2,870, which is at a discount of 6.68 per cent to Tuesday’s closing price.

Standard Life Investment held 45.23 million equity shares or 21.23 per cent stake in HDFC AMC at the end of June 2021 quarter, the shareholding pattern data shows.

At 09:30 am, the stock of HDFC AMC were trading 6 per cent lower at Rs 2,892 on the BSE, as compared to a 0.78 per cent decline in the S&P BSE Sensex. A combined 14.59 million shares had changed hands on the BSE and NSE till the time of writing of this report.