PB Fintech Stock Drops Over 8% Following ₹1,741 Cr Block Deal
Shares of PB Fintech, the parent company of Policybazaar, fell over 8% in early trade after a block deal worth approximately ₹1,741 crore saw nearly 2.37% of the company's equity change hands.
PB Fintech, the parent company of online insurer Policybazaar, experienced a significant drop in its stock value, falling over 8% in early trading on Tuesday. The decline followed a large block deal where approximately 2.37% of the company's equity, valued at around ₹1,741 crore (approximately $200 million), was transacted.
The stock's intraday low reached ₹1,544.45 on the Bombay Stock Exchange (BSE), marking a substantial decrease from its previous closing price. While the stock saw some recovery, it continued to trade lower, impacting the company's market capitalization.
Reports indicated that Singapore's sovereign wealth fund, Temasek Holdings, was looking to divest a portion of its stake through this transaction. Temasek's subsidiary, Macritchie Investments Pte, was reportedly planning to sell up to 1.19 crore shares, representing about 2.6% of PB Fintech's equity, at a floor price of ₹1,604 per share.
This large-scale transaction occurs amidst recent shifts in PB Fintech's shareholder base. Earlier this year, the company's co-founders and Chinese technology giant Tencent also divested significant stakes through separate block deals. Despite these shareholder movements, PB Fintech has continued to pursue business expansion initiatives, including investments in its payment aggregation subsidiary and the establishment of new entities in Dubai.