Manappuram surges 11%, Baring raises stake

Shares in Manappuram Finance surge 11% after the gold loan company said late on Monday private equity firm Baring India raised its stake by 0.95% to 5.94%.

Manappuram Finance founder VP Nandakumar on March 14 sold about a 4% stake to three large private equity funds, including Baring Private Equity Partners, for about $28.9 million.

Meanwhile, credit rating agencies Crisil and Brickwork Ratings have removed the company from their "rating watch with developing implications", indicating a degree of safety regarding the company's ability to fulfill its debt obligations.

The stock opened at Rs 28, is currently trading at day’s high level. As many as a combined 3.83 million shares have already changed hands on the counter in opening trades, against an average sub 6 million shares that were traded daily in past two weeks.