KFin Tech shares tank nearly 7% after 1.18 crore shares change hands in block deals worth ₹735 crore

Shares of the company declined as much as 7.43% to hit a low of ₹689 per share on the NSE in morning deals.

According to exchange data, more than 1.18 crore shares of the company changed hands on the bourse. The stock is trading more than 16% lower from its 52-week high levels hit on May 2, 2024. However, the stock has rallied 114% from the 52-week lows hit on May 30, 2023.

According to market reports, around 6% of the equity stake of the company changed hands in block deals worth around ₹735 crore.

The report claimed that the shares were traded at an average price of ₹720 per share against Wednesday’s close of ₹743.9 apiece.

Buyers and sellers of shares could not be ascertained immediately as bourses will update the data later in the evening.

Market reports quoting sources claimed that General Atlantic Singapore was the likely seller in the block deals.

Private equity firm General Atlantic Singapore Fund was looking to sell around 4.1% to 6.8% equity stake in the company, the report stated. The fund was looking to sell shares to raise between ₹500 crore and ₹833 crore.

General Atlantic is among the promoter group entities of Kfin Technologies. It held around a little over 38% stake in the company as of March 31, 2024.

KFintech provides SaaS based end-to-end transaction management, channel management, compliance solutions, data analytics and various other digital services to asset managers across segments. It akso offers outsourcing services for global players. It serves asset managers with clients spanning mutual funds, AIFs (alternative investments), pension, wealth managers and corporates in India and abroad.

The company reported a 30.6% rise in profit after tax to ₹74.5 crore for the March quarter on the back of growth across business verticals. It had posted a profit of ₹57 crore in the year-ago quarter.

Revenue rose by 25% year-on-year to ₹228.34 crore in the March quarter of FY24.

Kfin Tech shares are trading 6.70% down at ₹694 on NSE at 11:15 am.

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