Nykaa block deal: Public shareholder sells 1.43% stake in FSN E-Commerce Ventures for ₹851 crore

Nykaa block deal: A public shareholder of FSN E-Commerce Ventures Ltd, which owns the beauty and personal care brand Nykaa offloaded a 1.43 per cent stake in the company for ₹851 crore in an open market transaction on Friday, August 23.

According to the bulk deal data available on the BSE, Harindarpal Singh Banga divested over four crore shares, or 1.43 per cent stake, in Nykaa at ₹208.30 apiece, taking the transaction value to ₹851.50 crore. After the stake sale, Banga's shareholding in Nykaa has come down to 4.97 per cent from 6.40 per cent.

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Harindarpal Singh Banga is a commodities billionaire and chairman of Hong Kong-based Caravel Group. Banga was an early investor in the fashion and beauty platform Nykaa, which went public in 2021.

Nippon India Mutual Fund (MF), HSBC MF, Invesco MF, Kotak Mahindra MF, Invesco MF, HDFC Standard Life Insurance, ICICI Prudential Life Insurance, Goldman Sachs and Morgan Stanley were the buyers of FSN-E Commerce's shares.

Societe Generale, Abu Dhabi Investment Authority, Copthall Mauritius Investment, AL Mehwar Commercial Investments LLC, Caisse De Depot ET Placement DU Quebec, India Acorn ICAV and Bajaj Allianz Life Insurance were also among the buyers of Nykaa shares. On Friday, shares of Nykaa settled 7.84 per cent higher at ₹226.90 apiece on the BSE.

Also Read: Nykaa vs Mamaearth: Which e-commerce stock should you pick for long term?

Nykaa Q1 Results

Beauty retailer FSN E-Commerce Ventures, which runs Nykaa and Nykaa Fashion, posted profit after tax of ₹13.6 crore, up from ₹5.4 crore in the year-ago period, boosted by the the beauty segment.

The firm’s revenue from operations rose 22 per cent to ₹1,746 crore with beauty and personal care— its biggest business— contributing more than 90 per cent. Nykaa’s overall GMV (gross merchandise value) rose 25 per cent year-on-year (YoY) to ₹3,320 crore during the quarter.

The beauty segment reported about 23 per cent increase in revenue to ₹1,593.51 crore in June 2024 quarter from ₹1,298.36 crore a year ago. The fashion segment revenue grew about 21 per cent to ₹148.6 crore from ₹122.45 crore a year ago.