Samvardhana has 'sumo' fall

Samvardhana Motherson International Ltd or Motherson Sumi as it was known earlier is currently the top loser on the BSE; the stock price fell almost 14.5% to an intraday low at Rs.66.05, which is just a nick away from its 15% LC of the day at Rs.65.28. Its 52-weel low is at Rs.61.85.

The stock slipped and volumes rose almost 50-times after promoter company, Sumitomo Wiring Systems announced that it will sell around 23 crore shares or a 3.4% stake in the company.

The shares are being sold at a floor price of Rs.69.90, which is at 9% discount to yesterday’s closing price of Rs.76.80. This places the deal at Rs.1613 crore.

Prior to this stake sale, Sumitomo held 17.55% stake and with this sale, stake will now come down to 14.15%.