Voltamp Transformers block deal: Promoter may sell 7% stake for $67 mn

Promoter Kunjal Patel is likely to offload up to 7.88 lakh shares, or around 7% equity, in Voltamp Transformers through a block deal, sources told CNBC-TV18.The transaction size is pegged at around $67 million, with the floor price fixed at ₹7,600 per share, compared with the last close of ₹7,777.50.

Nuvama Wealth Management to be the placement agent for the transaction, which opens on September 8 and closes on September 9. The trade will be crossed on September 9 and settled the following day.

Patel currently holds about 37.8% in the company.
As per terms, the full 7.88 lakh shares sold will carry a two-year lock-up, while any unsold portion will have a one-year lock-in.Shares of Voltamp closed 1.18% lower at ₹7,768 on the NSE.

Also Read: Voltamp Transformers Q1 Results

The development comes after a subdued June quarter. Voltamp reported a nearly flat net profit of ₹79.5 crore, with revenue down 1.1% year-on-year to ₹423.6 crore. EBITDA fell 2.8% to ₹72.7 crore, with margins narrowing slightly to 17.2%.

However, management pointed to a 33% year-on-year rise in order volumes and 17% growth in value terms since April 1, providing revenue visibility of ₹1,685 crore for the current fiscal, including Q1.

Also Read: Ramesh Damani, Utpal Sheth, Madhu Kela’s fund buy Prime Focus shares in Friday’s block deal