Mumbai: Infosys Ltd, India’s second-largest software exporter, fell the most in almost two weeks after two of its founders and others sold shares for “personal reasons" and philanthropy.
S. Gopalakrishnan sold 5 million shares in the open market; S.D. Shibulal and his family members sold 2.5 million shares at an average price of 1,149.45 apiece, raising about ₹ 862 crores ($129 million), they said in a statement.
The sale, executed by Citigroup Global Markets India Pvt, was done to partially monetize their stake, having nurtured the firm for more than 3 decades, for personal reasons including the betterment of the society via various philanthropic activities, said the statement.
Shares of Infosys fell as much as 3.02% to ₹ 1,142.95 on BSE in intraday trade, paring this year’s gain to 3.5%. The scrip closed 2.76% lower at ₹ 1,145.95. Infosys has been the best-performing stock on the S&P BSE Sensex over the past two decades, having posted a 39% annual gain compared with the 10% yearly return for the benchmark gauge, according to Bloomberg data.
In December 2014, the families of four founders of Infosys—N.R. Narayana Murthy, K. Dinesh, Nandan M. Nilekani and Shibulal—sold about $1 billion of stock to capitalize on a gain in the stock price and fund philanthropy. Founded in 1981 with a seed capital of $250, Infosys signed its first customer in the US later that year and opened its first overseas office in Boston in 1987, according to its website. Led by its founders until August 2014, the firm hired Vishal Sikka, a SAP AG executive, as chief executive to help reverse 4 straight years of falling profit margins.