Veteran private equity firm Warburg Pincus sold its entire 3.54 per cent stake in tire maker Apollo Tires through an open market transaction for Rs. 1,073 crore was sold. US-based Warburg Pincus through its unit White Iris Investments sold shares of Gurugram-based Apollo Tires through 14 bulk deals on BSE.
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According to BSE data, White Iris Investments Ltd sold a total of 2,24,74,903 shares of Apollo Tyres. The shares were sold at an average price of Rs 477.35 per share. This brings the transaction value to Rs. 1,072.84 crores. The important thing is that this sale happened at a discount. Currently the share price is at the level of Rs 490. Share buyers include some domestic mutual funds (MFs), insurance companies and foreign investors.
According to shareholding data till March 2024, White Iris Investments Ltd. Ltd holds 3.54 percent stake in Apollo Tires. Let us tell you that in December last year, Warburg Pincus sold 4.5 percent stake in Apollo Tires for Rs 1,281 crore through several wholesale deals.
How were the March quarter results?
Apollo Tires’ net profit fell 14 percent to Rs. 354 crores. In the same quarter of the previous financial year, the company posted Rs. 410 crore profit was recorded. In the fourth quarter of 2022-23 Rs. 6,247 crore compared to operating income during the period of Rs. 6,258 crores.
Dividend was also announced
For the entire financial year 2023-24, the tire maker’s profit rose 65 percent year-on-year to Rs. 1,722 crores. Operating income during this period increased by three percent to Rs. 25,378 crores. The board of the company for the financial year 2023-24 has fixed Rs. 6 (600 per cent) recommended dividend.