Piramal Enterprises Ltd to sell its stake in Shriram Investment Holdings Pvt Ltd

Piramal Enterprises Limited has entered into share purchase agreement today, to sell its entire direct investment of 20% of the fully paid-up equity share capital held in Shriram Investment Holdings Private Limited (formerly known as Shriram Investment Holdings Limited) ['SIHPL'] to Shriram Ownership Trust ('SOT'), for a consideration of Rs. 1,440 crores ('Transaction).

The Transaction is subject to receipt of requisite regulatory approvals by SOT and expected to be completed prior to March 31, 2024. The contribution of SIHPL in the revenue of the Company for the year ended March 31, 2023 was Nil.

This Transaction is aligned with our focus on monetizing non-core assets. The proceeds from the Transaction will further strengthen our balance sheet.

SOT is the promoter of Shriram Capital Private Limited, which is the overarching holding company of Shriram Group. Shriram Group offers a wide range of financial products in commercial vehicle financing, retail financing, chit funds, housing finance, life insurance, general insurance, stockbroking, distribution of financial products, and wealth advisory through its entities. SOT does not belong to any of the Company's promoter / promoter group / group companies. The Transaction does not fall within related party transactions.

Shares of Piramal Enterprises Limited was last trading in BSE at Rs. 873.55 as compared to the previous close of Rs. 867.20. The total number of shares traded during the day was 35140 in over 1896 trades.

The stock hit an intraday high of Rs. 887.95 and intraday low of 860.70. The net turnover during the day was Rs. 30665350.00.

Source : Equity Bulls

Keywords

PiramalEnterprises INE140A01024 SPA StakeSale ShriramInvestmentHoldings