Mahindra & Mahindra has bought over 2 per cent additional stake in its subsidiary Mahindra Financial Services at an estimated cost of Rs 1,055 crore through preferential allotment of shares.
"...the Board of Directors of the company at its meeting held today... approved the allotment of 2,50,00,000 equity shares of face value Rs 2 each to Mahindra & Mahindra Limited... at the issue price of Rs 422 per equity share, aggregating to Rs 1,055 crores," Mahindra Finance said in a regulatory filing.
After this additional allotment of shares to the parent company, the shareholding of Mahindra & Mahindra has increased from 51.20 per cent (29,12,07,660 equity shares) to 53.25 per cent (31,62,07,660 shares) in Mahindra Finance, it added.
Mahindra Finance is a rural focused non-banking finance company headquartered in Mumbai.
Mahindra & Mahindra shares closed 1.63 per cent down at Rs 1,410.50 apiece on BSE, while Mahindra Finance closed 2.21 per cent down at Rs 439.65 per unit.
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