Minda Corporation Exits Pricol, Sells 15.70% Stake for Rs 658 Crore

In a significant move, Noida-based Minda Corporation has divested its entire 15.70 per cent stake in Pricol, an automotive component manufacturer, through open market transactions. The company sold over 1.91 crore shares of Pricol at a gross price of Rs 343.60 per share, amounting to a total transaction value of Rs 657.66 crore.

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Sale of Pricol Shares

Minda Corporation Ltd. announced the sale of 1,91,40,342 equity shares of Pricol Ltd., representing 15.70 per cent of Pricol's total issued and paid-up equity share capital. The transaction was executed on stock exchanges at a gross price of Rs 343.60 per equity share.

Buyers of Pricol Shares

According to data from the National Stock Exchange (NSE), several prominent institutional investors and financial institutions were among the buyers of Pricol's shares. These include ICICI Prudential Mutual Fund MF, Fidelity India Fund, Tata MF, Aditya Birla Sun Life Insurance Company, Goldman Sachs India, City of New York Group Trust, and Carnelian Asset Management & Advisors.

Pricol's Financial Performance

Pricol Ltd. operates in the automotive components and products/equipment business. For the year ended March 31, 2023, the company reported a total income of Rs 1,963.1 crore.

Stock Market Performance

On the day of the announcement, Pricol Ltd.'s scrip witnessed a rise of 3.35 per cent, closing at Rs 380.50 per share on the NSE. Meanwhile, on the BSE, it settled 0.73 per cent higher at Rs 371.45 per share. On the other hand, shares of Minda Corporation jumped 4.84 per cent to end at Rs 402.60 per scrip on the BSE.

Minda Corporation's exit from Pricol marks a significant development in the automotive industry. The sale of its entire stake in Pricol reflects the company's strategic decision to streamline its portfolio and focus on its core businesses. The transaction also highlights the growing interest of institutional investors in the automotive components sector, which is poised for growth in the coming years.