Shares of L&T Finance Holdings fell 7 per cent to Rs 82.65 on the BSE index Thursday amid a hefty profit-taking. At 09:52 a.m. the stock was down 5 per cent at 84.25 rupees, compared to a 0.09 per cent drop in the S&P BSE Sensex. 33 million shares of the combined stock were traded in the first 35 minutes of trading on the New York Stock Exchange and the Bahrain Stock Exchange.
In the past five trading sessions, L&T Group’s stock is up 37 percent after its promoter Larsen & Toubro (L&T) bought 55.75 million shares of stock representing 2.3 percent of L&T Finance Holding via open market purchases.
On Wednesday, the stock closed 18 per cent higher after L&T bought 41.49 million shares of L&T Finance Holdings for Rs 348 crore. L&T picked up 21.22 million shares at an average price of Rs 83.52 on NSE. The company also bought another 20.27 million shares from the Bahrain Bourse. The names of the sellers were not immediately confirmed.
According to insider trading data available on BSE, L&T, which owned a 63.5 percent stake in L&T Finance Holdings at the end of December, acquired 14.3 million shares from March 17-21. This, along with Wednesday’s acquisition, will add the total purchase by the promoter of 55.75 million shares, bringing the promoter’s stake to 65.8 percent.
L&T Finance Holdings shares hit a 52-week low of 58.50 rupees on March 7, 2022. Despite the current rally, in the past year, the stock underperformed the market by declining by 13 percent, compared to a 17 percent increase On S&P BSE Sensex.