Japan’s SoftBank Group likely sells 2.5% stake in PB Fintech via block deal
PB Fintech which operates the online platform Policybazaar witnessed a block deal in the pre-opening session where Japan’s SoftBank Group is likely to have sold over 1.14 crore shares (2.5% equity) at Rs 762.80 per equity share taking the deal size at Rs 871.21 crore.
The information was updated on the NSE though it did not reveal the buyer and seller. The stock fell 0.75% to the day's low of Rs 761.20 on the NSE.
Kotak Mahindra Capital is the banker handling the share sale, reports said. As of June-end, SoftBank, through its entity SVF Python II ( Cayman) Ltd, held a 4.39% stake in PB Fintech.
In December last year, SoftBank sold a 5.1% stake in PB Fintech for Rs 1,043 crore. Shares of PB Fintech, which owns the Policybazaar platform, have gained 71% so far in 2023.
Strong improvement in the earnings drove the recovery in the stock.
The company’s consolidated net loss in the June quarter narrowed to Rs 11.4 crore from Rs 204 crore a year ago. Revenue from operations rose 32% on year to Rs 666 crore.
The stock had ended at Rs 767 on the NSE on Thursday with declines.
Following the block deal, over 3.89 lakh shares were trading on the NSE with a traded value at Rs 298.18 crore and a market capitalisation of Rs 34,352.87 crore.
PB Fintech shares have given returns of over 55% in the past 12 months which is higher than the returns of over 15% given by the Nifty50 during this time. The year-to-date gains are at 69% versus 8% given by the broader index.
The stock is currently trading above its 50-day and 200-day simple moving averages (SMAs). Momentum indicators RSI andMFI suggest that there is still upside left in the stock.
