Sri Lotus Developers and Realty Ltd has said one of its promoters will offload shares on the stock exchanges this week, as the company works to meet the minimum public shareholding requirement.
In a regulatory filing on Monday, the company said promoter Anand Kamalnayan Pandit plans to sell up to 2,37,95,818 equity shares. This is equal to 4.87 per cent of the company’s total paid-up capital. The sale will take place through the stock exchange mechanism.
Timing and price
The offer will run over two days, November 3 and 4. The floor price has been set at Rs 240 per share.
The stock ended Monday’s session at Rs 245.90 per share. The floor price is therefore a little below the last closing level.
Why the promoters are selling
Promoters currently own 79.87 per cent of the company. Under Sebi rules, listed companies must keep at least 25 per cent of their shares in public hands, which means promoter holding cannot go above 75 per cent.
Selling the full 4.87 per cent on offer would bring the promoter stake down to the permitted ceiling, based on the figures in the filing.
About the company
Sri Lotus Developers is based in Mumbai and counts itself among the leading real estate firms in the country.
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