PE firm ADV Partners sells 10.46% stake in Amber Enterprises for ₹604 crore1 min read . Updated: 11 Sep 2020, 10:02 PM IST
- One of the promoters of Amber sold 2.75 lakh shares or 0.87% of the equity for ₹50.64
- Amber plans to use the proceeds from the QIP for repayment of debt
Mumbai: Singapore based private equity firm ADV Partners on Friday sold a 10.46% stake in Amber Enterprises Ltd for ₹604 crore through open market transactions.
As per the bulk deal data on NSE, 32.9 lakh shares or 10.46% of equity of Amber Enterprises were sold by Ascent Investment Holdings PTE, a unit of ADV Partners, at an average price of ₹1,835.93 per share aggregating to ₹603.80 crore.
Before the transaction, ADV Partners held 20.9% shares of the company.
In another transaction, one of the promoters of Amber sold 2.75 lakh shares or 0.87% of the equity for ₹50.64.
Shares of Amber Enterprises lost 6.97% to close at ₹1,767.85 on Friday, on NSE, while the benchmark index Nifty gained 0.13% to close at 11,464.45 points.
Among buyers, Newport Asia Partners fund bought 3.96 lakh share at ₹1,839.48 worth ₹72.81 crore, Oxbow Master Fund Ltd bought 4.18 lakh shares at ₹1835.03 per share to ₹76.72 crore and Vittoria Fund - OC L.P bought 1.62 lakh shares at ₹1,835.03 per share to ₹29.76 crore.
From the beginning of the year, Amber Enterprises gained 58.44% against a drop of 5.79% in the benchmark index, Nifty. From April lows, the stock gained 76.19%, while Nifty was up 27.47%.
The secondary sale of shares by the PE firm and the promoter follows the qualified institutional placement (QIP) offering launched on Monday, through which the company has raised ₹400 crore.
Amber plans to use the proceeds from the QIP for repayment of debt, funding capital expenditure, working capital requirements and for making strategic acquisitions or joint ventures.
The investment banking unit of Edelweiss Financial Services advised the PE firm and the promoter on the share sale.