Promoters cash in on market rally, offload shares to pare debt

In past two-and-a-half months, the promoters of mid-and small-cap companies like Asian Granito, Hatsun Agro Products, Arshiya and GNA Axles via open market, according to the disclosures made by them

Promoters of five companies - Bharti Infratel, Escorts, McLeod Russell India, Relaxo Footwear and Action Construction Company - have sold equity shares worth nearly Rs 4,000 crore through open market transactions in the past three weeks to cut debt in their respective company's books.

According to disclosures made by the companies to the stock exchanges, institutional investors led by foreign portfolio investors (FPIs) have bought these shares. Experts attribute this to buoyant markets that have provided an opportunity to promoters to raise funds via stake sale.

Bharti Airtel via its wholly owned subsidiary, Nettle Infrastructure Investments, sold 83 million