Sterlite Technologies zooms over 17% amid heavy volume on stake sale buzz

Sterlite Technologies zoomed 17.5 per cent to a high of Rs 242.90 in intra-day trades on Friday amid reports of stake sale by the company in three of its verticals. 

The stock moved higher on the back of heavy volumes as around 1.35 million shares have changed hands on the BSE so far, as against a two-week daily average traded volume of around 0.11 million shares. As of 2:30 PM, the stock was 14.8 per cent higher at Rs 237.20 as against a 0.9 per cent fall on the S&P BSE Sensex.

According to a Business Line report, Vedanta Group is in talks with strategic investors to sell up to 25 per cent stake in each of the three business units of Sterlite Technologies.

The report stated that Vedanta were looking at a valuation of $2 billion for each of the businesses. Business Standard couldn't independently verify the report.

At the end of the March quarter, total promoter shareholding in the company stood at 54.16 per cent, as per BSE data. The promoters' stake declined by 0.04 per cent on a quarter-on-quarter basis.

Meanwhile, the company's board is scheduled to meet on April 28 to consider a proposal for raising funds by issue of equity shares or any other securities convertible into equity shares or a combination of such securities.

The company shall also be annoucing the financial results for Q4 and FY22 along with dividend, if any, on the same date. In Q3FY22, the company had reported a net loss of Rs 137 crore as against a net profit of Rs 86.64 crore in the corresponding quarter a year ago.