Kalyan Jewellers' share price jumped by over 5 per cent during early trading session on Thursday after the company announced that Highdell Investment, a foreign investor, will sell a 2.36 per cent stake in the company to its promoter. The bulk order is valued at Rs 1,300 crore, as per the exchange filing.
At 9:30 am, the shares of the jeweller were trading at Rs 573 price level, up by nearly 5.36 per cent on the National Stock Exchange.
Highdell will sell the shares to the promoter, Trikkur Sitarama Iyer for Rs 535 per share. After this transaction, the promoter's stake in the company will rise from 60.59 per cent to 62.95 per cent.
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"Highdell will be selling 24,299,066 equity shares to the Promoter for a purchase price of INR 535 per share aggregating to Rs 13,000,000,310. The Transaction is subject to the Promoter arranging requisite funds through financing to consummate the Transaction," the company stated in its exchange filing.
What does Highdell Investment do?
Highdell Investment is a foreign private equity firm owned by Warburg Pincus. The company is present in multiple countries like the US, Europe, China and Southeast Asia. It is headquartered in New York and is headed by Jeffrey Perlman, CEO of the company.
Pincus has been well-present in the industry for more than 60 years.
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Kalyan Jewellers' quarterly results
Kalyan Jewellers reported a 27 per cent year-on-year growth in consolidated revenue for the quarter ending June. This was largely owing to the strong performance of the company in regions like India and the Middle East. The company posted a consolidated net revenue of Rs 4,376 crore during the same period.
In India, revenue grew by 29 per cent as compared to the same period last year.
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