Restaurant Brands Asia, formerly known as Burger King India, experienced significant activity on September 15th as multiple investors acquired a nearly 24 percent equity stake in the company. The promoter, QSR Asia, sold over 25 percent of the company’s shares in open market transactions. This activity caused the stock price to rise by 6.7 percent, closing at Rs 128.35 on the NSE.
The eight investors involved in the transaction include Tata Mutual Fund, Plutus Wealth Management LLP, TD Emerging Markets Fund, Amal N Parikh, Quant Mutual Fund, ICICI Prudential Life Insurance Company, Goldman Sachs Funds-Goldman Sachs Asia Equity Portfolio, and Franklin Singapore 3 Banken Asia Stock-Mix. Together, these investors purchased a 23.92 percent stake in Restaurant Brands Asia, equivalent to 11.83 crore equity shares.
The shares were acquired at an average price of Rs 119.1 per share, resulting in a total investment of Rs 1,349 crore. Meanwhile, the promoter entity, QSR Asia Pte Ltd, sold 12.54 crore shares, approximately 25.36 percent of the company’s paid-up equity, at the same average price. Prior to this transaction, QSR Asia held 40.8 percent shares in the company.
In other stock market news, Five-Star Business Finance saw a 1.8 percent drop in its share price as SCHF PV Mauritius, a foreign company, sold 30.19 lakh shares, amounting to a 1.03 percent stake in the non-banking finance company. This transaction totaled Rs 211.35 crore. Smallcap World Fund Inc, a foreign portfolio investor, was the buyer for the entire stake, in addition to its existing holding of 1.64 percent.
Vanguard Group, a US-registered global investment adviser, acquired stakes in six stocks, including Data Patterns India, Himadri Speciality Chemicals, MTAR Technologies, Nazara Technologies, Olectra Greentech, and Ramkrishna Forgings. The total investment in these stocks was Rs 706.34 crore. Vanguard Emerging Markets Stock Index Fund A Series of VIEIF and Vanguard Total International Stock Index Fund were the funds involved in these acquisitions.
To add to the activity, Paris-based private investment firm BNP Paribas Arbitrage sold shares worth Rs 743.4 crore in nine stocks, which included Himadri Speciality Chemicals, Nazara Technologies, Olectra Greentech, Ramkrishna Forgings, Apar Industries, Kirloskar Oil Engines, NMDC Steel, Safari Industries (India), and Titagarh Rail Systems.
Another notable transaction was made by Dr Cyrus Poonawalla’s Serum Institute of India, which sold 4 lakh shares in pharma company Panacea Biotec at an average price of Rs 140.65 per share. However, the stock ended with a 4 percent gain at Rs 145.90.
Furthermore, EVLI Emerging Frontier Fund, an open-ended fund from Finland, acquired a 0.51 percent stake in microfinance company Satin Creditcare Network by purchasing 5.14 lakh shares at an average price of Rs 237.45 per share.
Lastly, investor GG Engineering has been selling shares in GI Engineering Solutions since mid-August, selling 1.57 crore shares or 18.31 percent stake in the company. Aditya Vision, an electronic retail chain with Ashish Kacholia holding a 2 percent stake, experienced a 5.7 percent drop in its share price as promoters sold 5.39 percent of their shareholding.
Overall, these big block deals have caused significant movements in various stocks, showcasing the activity and dynamics of the Indian stock market.
Definitions:
– Open market transactions: Transactions in which securities are bought and sold directly between buyers and sellers on a stock exchange, without the involvement of the issuing company.
– Equity stake: A percentage ownership interest in a company, represented by the number of shares held by an investor.
– Promoter: The person or group that sets up a company and takes responsibility for its management and operations.
– Bulk deals: Transactions in which a significant number of shares of a company are bought or sold in a single transaction.
– Stakes: Ownership interests or shares held in a company.
– Non-banking finance company: A financial institution that provides a range of financial services, similar to a bank, but without a banking license.
– Phama company: A company involved in the research, development, production, and marketing of drugs or pharmaceutical products.
– Microfinance company: A financial institution that provides small loans, savings, and other financial services to individuals and small businesses who lack access to traditional banking services.
– Promoters: The individuals or entities who start a company and promote its growth and success.
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