Asian Paints Share Price Slides After Reliance Sells Stake
Reliance Industries, through its affiliate Siddhant Commercials Ltd., sold equity worth Rs 7,703 crore in Asian Paints.
Shares of Asian Paints Ltd. fell by over 2% on Friday after Reliance Industries Ltd. sold a significant portion of its stake in the company.
On Thursday, Reliance Industries, through its affiliate Siddhant Commercials Ltd., sold equity worth Rs 7,703 crore in Asian Paints Ltd. The sale involved 3.5 crore equity shares at Rs 2,201 per share, according to a stock exchange filing. SBI Mutual Fund was the sole buyer of these shares.
The transaction, conducted in the pre-market block window, represented 3.64% of Asian Paints' total equity. As of March, Siddhant Commercials held a 4.9% stake in the paint manufacturer. Following the sale, Reliance Industries still retains 87 lakh equity shares of Asian Paints.
SBI Mutual Fund, which held a 1.51% stake in Asian Paints as of March, valued at Rs 3,220 crore based on current market prices, has now increased its shareholding in the company.
Asian Paints Share Price
Shares of Asian Paints fell as much as 2.01% to Rs 2,174 apiece. They pared losses to trade 1.06% lower at Rs 2,195 apiece, as of 10:42 a.m. This compares to a 0.85% decline in the NSE Nifty 50.
The stock has fallen 24.54% in the last 12 months. Total traded volume so far in the day stood at 2.3 times its 30-day average. The relative strength index was at 31.
Out of 39 analysts tracking the company, seven maintain a 'buy' rating, 10 recommend a 'hold' and 22 suggest 'sell', according to Bloomberg data. The average 12-month consensus price target implies an upside of 23.7%.
