In a notable market development, Welspun Ltd has executed a block deal, selling approximately 3.8 crore shares, which accounts for 3.9% of its subsidiary, Welspun Living. The transaction took place through the block deal window at both the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE).
The shares were sold at ₹197 each, reflecting a 5% discount compared to Welspun Living’s closing price on the previous trading day. The total value of the deal amounts to around ₹750 crore. Initial reports had indicated that Welspun Ltd was considering selling a 4.6% stake in Welspun Living at the same floor price, but the actual sale was slightly lower. Following this transaction, the promoter is now subject to a 180-day lock-in period during which no further stake sales can occur.
Welspun Living, recognized for its strong performance in the home textiles and flooring sectors, has been experiencing significant revenue growth and improving margins. The company’s strategic focus on expanding its product range and enhancing operational efficiencies has played a critical role in its success.
The completion of this block deal highlights investor confidence in Welspun Living’s growth trajectory and market position. The capital raised from this transaction is expected to bolster Welspun Ltd’s financial standing and support its strategic initiatives.
As market participants digest this development, they will be closely monitoring the performance of Welspun Living’s stock and assessing any implications for the company’s future plans. This transaction marks a pivotal moment for both Welspun Ltd and Welspun Living as they navigate the evolving landscape of the textile industry.
