Idea Cellular slumps on block deal
By
Research Desk
about 9 years ago
Idea Cellular is the top loser on the BSE since morning, following a block deal to sell shares. This is on account of PE fund, Providence Equity Partners selling 3.47% of its stake on sale of the 6.8% stake that it holds. This block trade is worth about Rs.1400 crore .
Those on the street say that the share sale, managed by Morgan Stanley, was launched on Thursday evening and the trade is expected to be closed on today.
This stake sale is happening at a 6% discount to yesterdays’ closing price of Rs.118.50, in the range of 110.50 to Rs.112.50/share.
This PE fund had originally bought a total of 15% stake in the company in 2006, ahead of Ideas’ IPO for around $400 million or for around Rs.2800 crore.