Max Financial says Nippon MF sold its own investments, not pledged shares

Share sale by fund house had led to speculation on promoters' pledged shares being invoked

Max Financial has clarified that the share sale by Nippon India Mutual Fund (MF) was not related to invocation of pledged shares, but part of the fund house’s investments.

On Thursday, the insurer informed the exchanges that Nippon India MF had sold 289,200 shares of the company in open market on Tuesday. This disclosure, which was made as part of substantial acquisition of shares and takeovers regulations, led to speculation whether the sale was on account of invoking of pledged shares.

The company later said, “We