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Whirlpool of India shares slump as foreign promoter plans to divest 24% stake; Here is all you need to know

The promoter group, which owned a 75% stake in the local unit, earlier indicated divesting the stake to cut debt.

The stock of Whirpool of India fell 4.7% to Rs 1,268 after the company’s promoter decided to divest its stake in the company. 

According to news reports the company’s promoter, Whirlpool Corporation, would be divesting its 24% stake in Whirlpool of India via a block deal in a transaction summing to $450 million. 

Almost 3.2 crore shares of the company changed hands on February 20 via a block deal during the early trade hours, reported Moneycontrol. Whirlpool Mauritius could be the seller as it was planning to divest a 24% stake in Whirlpool of India. 

The promoter group, which owned a 75% stake in the local unit, earlier indicated divesting the stake to cut debt.  

The shares of the company have fallen 3.1% in the last five days and 18.7% in the last six months. It has given no returns to the investors in the last one year but has eroded their 4% wealth in the past five years. 

To compare, the benchmark index Nifty 50 rose 2.5% in the last five days and 14% in the past six months. The index gave a return of nearly 24% to the investors in the last one year and almost 105% in the past five years. 

Source:financialexpress.com

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