Block deal data: Dalal Street has recorded block deals amounting to Rs 55,000 crore so far this month, setting March on course to emerge a fourth month with block deals of more than Rs 21,000 crore, according to provisional exchange data.

Month                Block Deal Amount (cr)
March 2024*                    50,000  
Feb 2024                          41,200  
January 2024                           21,000  
Dec 2023                          53,000  
*Till today      
         

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According to Zee Business research, several promoters, private equity funds and global investment funds have pared stake in listed entities in March through block deals.

As of March 20, here’s a summary of the various block deals that have taken place in March 2024:

Company         Block Deal Size (Cr)       Equity Exchanged
ITC                          17,500                                 3.5%
TCS                          9,300                                   0.6%
Indigo                     6,800                                   5.8%
Bharti Airtel           5,800                                     0.8%
Motherson             3,600                                 4.4%  
Zomato                   2,800                                     2.0%
M&M                      1,800                                   0.75%

Among the block deals, promoters trimmed stakes in several companies, including TCS, M&M, Bharti Airtel, and Mahindra & Mahindra.

Also read Tata Sons offloads stake in TCS; stock falls

Company                                 Promoter

TCS-                                      Tata Sons

Indigo                                     Rakesh Gangwal

M&M                                      Prudential Management Services

Bharti Airtel                            Singapore telecommunications

Motherson                              Sumitomo Wiring Systems

Sundaram Clayton                 Venu Srinivasan

How market wizard Anil Singhvi views the series of block deals in March?

Zee Business Managing Editor Anil Singhvi points out that while several promoters appear to be in the mood to offload stakes in their respective firms, funds seem to be inclined towards focusing on safer equity bets instead.

The series of back-to-back block deals are likely to further impact the overall liquidity situation in the market, he says.

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This time of the year typically sees limited liquidity on Dalal Street as market participants defer major investment decisions owing to multiple factors such as limited funding by banks, he adds. The market guru also suggests market participants exercise caution in the remaining sessions of the month.