Vanguard Picks 1% Stake In Vishal Mega Mart For Rs 655 Crore

US asset manager Vanguard picked up an over 1% stake in Vishal Mega Mart Ltd. for Rs 655 crore via open market operations on Friday.

It purchased over 5 crore shares via two affiliates — Vanguard Emerging Markets Stock Index Fund and Vanguard Total International Stock Index Fund — at Rs 129.74 apiece, as per bulk deal data on the NSE. The amount aggregates to Rs 655.2 crore.

Foreign portfolio investors owned a 7.03% stake in Vishal Mega Mart as of March, according to BSE shareholding data. It includes the Government of Singapore. Domestic mutual funds hold an 11.35% equity.

Vishal Mega Mart had a stock delivery of 56.4% with a turnover of Rs 1,250.18 crore. The total volume traded was Rs 2,216.55 crore. The stock traded 5.48 times its 30-day average.

The stock was added to London-based index provider FTSE Russell's global equity indices on June 20. Global funds tracking such indices reshuffle their portfolios accordingly, funnelling inflows into entrants.

The share price settled 2.1% higher at Rs 129.62 apiece on the NSE, compared to a 1.3% gain in the benchmark Nifty 50.