A flurry of block deals swept across Dalal Street for two sessions in a row, keeping markets hooked as a slew of promoters and marquee investors got the ground running with stake sales. On one day alone, the Street witnessed stake sales worth a hefty ₹4,463.01 crore. Barely catching its breath, the market was hit by yet another series of sizeable block deals today, estimated to be around ₹3,480 crore. While the final tally for today’s trades is yet to be confirmed, early estimates peg the total value of stake sales across the two sessions at a staggering ₹8,000 crore.
This comes on top of block deals and share sales raking over $5 billion in May alone, the highest monthly tally since March 2024, according to Bloomberg data.
The deluge of block deals also drove trading volumes in the market, lifting the daily turnover to almost $14 billion on June 3, the highest since early November, as reported by Bloomberg. The revival in daily turnovers also marked a trend reversal from the lows of around $11 billion in early March, when relentless outflows from foreign investors sent domestic equities to multi-month lows, silencing investor interest.
For some, however, a spike in block deal activity led by promoters and marquee institutional names, sounded alarms of caution. While the reasons behind stake sales might vary from case to case, ranging from pressures on the parent entity to mere portfolio rebalancing, it’s the timing that catches the eye.
“The trend feels like a resurgence of what we saw in December last, when major sellers were promoters, owing to rich valuations of their stocks. This time around, though, one needs to be more nuanced and see each deal on a case-by-case basis,” said Sham Chandak, Head of Institutional Broking at Elios Financial Services.
“The reason is a combination of rich valuation multiples, global financial and geopolitical uncertainty, and in some cases (like those of PE funds), it is also the end of their investment horizons and fund lifecycles,” he added.
After a period of lull when the market was in the doldrums earlier this year, the revival in block deal activity suggests that insiders are rushing to cash in on the surge across the Street. With valuations running high, many appear to be locking in gains, seizing the opportunity to capitalise on the rally. The trend is underscored by the fact that several of these block trades are taking place at discounted prices, suggesting a deliberate push to offload at scale while appetite remains strong.
“The sharp rise in block deals underscores a perfect alignment of timing and market conditions. Promoters, private equity, and venture capital firms are using the recent rally and strong liquidity to pare stakes and book profits, especially after navigating volatile phases like the funding winter,” said Trivesh D, COO, Tradejini.
“With ample institutional participation and market depth, large trades are clearing without disrupting prices. Importantly, these sales are not panic exits, they reflect strategic portfolio rebalancing amid improved valuations,” he added.
Moving on, Kranthi Bathini, Director – Equity Strategy at WealthMills Securities, offered another perspective on the rise in block deals. He pointed towards the slew of lock-in expiries for pre-IPO investors that opened up since April, giving several institutional investors a chance to sell off their holdings.
“When a lock-in period gets over, there is a tendency among marquee players to cash in their investments, and given that the markets have witnessed a revival in recent times, it made for perfect timing for them to exit companies,” he said.
Anchor lock-in expiries had freed up shares worth over ₹2.36 lakh crore for trading during the April–May period.
Major Block Trades
In the previous session, the block deal arena saw Hyundai Motor and Kia Corporation trim their stakes in Ola Electric Mobility. Hyundai offloaded 10.8 crore shares at ₹50.70 each, raising about ₹552 crore, while Kia sold 2.7 crore shares at ₹50.55, netting ₹138 crore.
Adding to the momentum, Westbridge Crossover Fund sold nearly 6.19 lakh shares of Aptus Value Housing Finance in a transaction valued at around ₹1,950 crore.
In today’s session, the action continued with private equity firm Carlyle’s affiliate, CA Dawn Investments, reportedly selling a 10.56% stake in Indegene through a block deal worth a substantial ₹1,504 crore. CA Dawn Investments also happens to be a pre-IPO investor in Indegne.
