Warburg Pincus leaves Apollo Tires; cuts the entire stake for Rs 1,073 crore
Private equity giant Warburg Pincus on Wednesday exited Apollo Tires by selling its entire 3.54 per cent stake in the tire manufacturing company for Rs 1,073 crore through open market transactions.
US-based Warburg Pincus, through its arm White Iris Investment Ltd, has sold shares of Gurugram-based Apollo Tires through 14 block deals on the BSE.
According to BSE data, White Iris Investment Ltd has sold a total of 2,24,74,903 shares of Apollo Tires.
The shares were sold at an average price of Rs 477.35 each, taking the transaction value to Rs 1,072.84 crore.
A group of domestic mutual funds (MFs), an insurance company and foreign investors were among the buyers of the shares.
The entities are Edelweiss Mutual Fund (MF), Mirae Asset MF, ICICI Prudential MF, Sundaram MF, ICICI Prudential Life Insurance Company, Societe Generale, Ghisallo Master Fund LP, Goldman Sachs Investments (Mauritius) I, Morgan Stanley Asia Singapore and Citigroup Mondiale markets Mauritius.
As of March 2024, White Iris Investment Ltd held a 3.54 percent stake in Apollo Tires, the stock exchange’s shareholding data shows.
On Wednesday, shares of Apollo Tires rose 1.78 percent to settle at Rs 490.75 apiece on the BSE.
Last week, Apollo Tires said its consolidated net profit fell 14 percent to Rs 354 crore for the March 2024 quarter due to higher costs. The company had reported a net profit of Rs 410 crore in the January-March quarter of the last fiscal.
Operating revenues stood at Rs 6,258 crore in the period under review, compared to Rs 6,247 crore in the fourth quarter of 2022-23.
In December last year, Warburg Pincus sold 4.5 percent stake in Apollo Tires for Rs 1,281 crore through multiple block deals.
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First print: May 23, 2024 | 12:23 pm IST