Indian bike and truck maker Eicher Motors Ltd’s promoters have sold 1.14 million shares, or a 4.2% stake in the company, for Rs 2,100 crore (about $316 million), as per a stock market disclosure.
The promoter group’s stake in the company has come down to 50.67%, Eicher said. The promoters have no plans to divest any further stake in the foreseeable future, it added.
US mutual fund Europacific Growth Fund picked up 8.16 lakh shares for about Rs 1,500 crore, according to data available with the National Stock Exchange. The identity of the buyer of the remaining shares wasn't disclosed.
An emailed query to the company seeking further information didn’t elicit any response till the time of filing this article.
Those who sold the stake are Anita Lal, mother of Eicher CEO and managing director Siddharth Lal; Rukmani Joshi, Lal’s sister; and the Lal-family governed The Eicher Goodearth Trust.
“This sale has been done to provide liquidity to the promoters, and the proceeds will be utilized for personal uses, such as portfolio and other investments, and for charitable purposes,” it said in the filing.
Apart from making trucks and buses, Gurgaon-headquartered Eicher Motors is known for its iconic Royal Enfield motorcycles.
Shares of Eicher fell 3.8% on Friday to close at Rs 18,995.75 in a Mumbai market that dropped 1.2%.
Like this report? Sign up for our daily newsletter to get our top reports.