PNB Housing Finance falls over 1% amid reports Carlyle will sell 12.8% stake

According to CNBC-TV18, the block deal’s floor price is expected to be Rs 755 per share, a nearly 4% discount from the current price of the stock.

On 29 July, CNBC-TV18 reported that Carlyle Group was looking to offload a 6.4% stake in the lender, seeking to earn Rs 1,255.6 crore from the stake sale. However, on Tuesday morning, the reports said that the Carlyle Group had raised the size of the block deal to 12.8%.

According to the report, Motilal Oswal Investment Advisors and IIFL Securities are the book runners for the deal.

The Carlyle Group holds a 32.68% stake in PNB Housing Finance via its affiliate Quality Investment Holdings PCC as per June’s shareholding data.

Earlier this month, the lender reported a 159% jump in net profit at Rs 3,252 in Q1FY25, against ₹1,255 crore in the year-ago period. Net Interest Income (NII) increased 10.23% YoY to Rs 10,476 crore in the first quarter of the current financial year from Rs 9,504 crore in Q1FY24.

The stock witnessed a spurt in volume by more than 538 times on Tuesday. Shares touched a 52-week high of ₹913.95 on January 25, 2024, and a 52-week low of ₹598.05 on August 2, 2023. The company’s market capitalisation, at current market price of ₹783.65 per share, stands at ₹20,323.74 crore. The shares have gained nearly 23% in the last one year.

On a technical level, PNB Housing Finance’s relative strength index (RSI) is at 52.2 and the stock is trading above the 10, 20, 50, 100 and 200-day moving averages (DMA).