Sobha falls on stake sale by promoter

The stock has fallen 8.7% to Rs 380 on BSE in early morning trade

Shares of real estate developer Sobha fell 8.7% to Rs 380 on BSE in early morning trade after the promoter Sobha Menon sold four million shares or 4.15% stake in the company through open market transaction.

On Friday, April 7, 2017, Sobha Menon had sold four million shares or 4.15% in the real estate firm Sobha at an average price of Rs 414.89 per share on BSE, the bulk deal data showed. CLICK HERE FOR DETAILS

Post transaction, Sobha Menon holding in the company declined to 37.74% from 41.89%, Sobha said in a BSE filing.

As of December 2016, promoters held 60.24% stake in Sobha, the shareholding pattern data shows.

According to the data, Adawi Investments Holdings picked up 4.16 million shares of the company at the same average price. The names of other sellers were not ascertained immediately.

Meanwhile, the stock had strong run-up in last week after the company said sales volumes and values are up by 18% and 35% respectively on a quarter-on-quarter basis as part of the fourth quarter operational update. During the week, it rallied 22% as compared to 0.29% rise in the S&P BSE Sensex. On Friday, the stock hit a 52-week high of Rs 423 during intra-day trade.

At 09:37 am; the stock was down 7% at Rs 385 against 0.09% rise in the benchmark index. A combined 196,289 shares changed hands on the counter on BSE and NSE so far.