Shares of Aptus Value Housing Finance India tumbled 9% in early trade on June 3 after a massive 7.44% stake in the company was sold off through the block deal window.
The transaction involving 3.71 crore shares, valued at around ₹1,141 crore was executed an average of ₹307 per share, implying a near 9% discount to the last closing price of ₹336.50.
While the parties involved in the transaction could not be immediately identified, a report by CNBC-TV18 had previously hinted that private equity firm Westridge Investments was eyeing to offload a 9.8% stake in the company.
PE firm Westridge Investments is a part of Aptus Value’s promoter group and held a 28.59% stake in the housing finance company through Westridge Crossover Fund.
Furthermore, the block deal also triggered a sharp surge in trading volumes in the counter. As many as 10 crore shares of Aptus Value Housing changed hands by the first hour of trade, already reflecting a meteoric spike as compared to the one-month daily traded average of a mere seven lakh shares.
Also, with the slump in today’s session, shares of Aptus Value Housing have lost slipped into the red for the last three months. At 10.22 am, shares of Aptus Value Housing were quoting ₹311.50 on the NSE.
Regardless of the stock market reaction, Aptus Value Housing boasts of a solid earnings performance. The housing finance company had delivered a 26% year-on-year jump in net profit to ₹207 crore in the March quarter, up from ₹164 crore in the same period last year. The growth was carried by strong disbursements and improved operational efficiency.
Loan disbursements also grew 10% year-on-year to ₹1,064 crore, hinting towards steady demand across the company’s operating geographies. Assets under management (AUM) climbed 25% to ₹10,865 crore as of March 31. The company also continued its expansion drive during the fiscal year, adding 38 new branches and taking its total network to 300 locations.
