Shares of Mahindra & Mahindra (M&M) gained over 1.2% to Rs 3,625 in Thursday’s session after reports indicated that the automaker had sold its entire 3.45% stake in RBL Bank through a block deal valued at Rs 678 crore.
According to exchange data, around 2.11 crore shares of RBL Bank changed hands at Rs 321 per share, representing about 3.45% of the lender’s total equity. While the buyer and seller identities remain undisclosed, reports from Bloomberg suggest that M&M was the likely seller, exiting the private lender completely after holding the stake for just over a year.
The block deal was executed at a floor price of Rs 317 per share, reflecting a 2.1% discount to the previous closing price. The transaction marks a profitable exit for Mahindra & Mahindra, which had invested Rs 417 crore in RBL Bank in July 2023, acquiring shares at Rs 197 per share. The company is expected to have earned approximately a 64% return on its investment.
Following the transaction, RBL Bank shares traded steady around the Rs 321 mark, while M&M’s stock moved higher on reports of the stake sale and strong profit realization.
The trade took place during the block deal window, and official confirmation from the exchanges on the buyers and sellers is awaited.
This is a developing story, and further details will be added once disclosures are available.
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