Akula, Sequoia Capital sell SKS shares worth Rs 32 cr

SKS Microfinance founder Vikram Akula and private equity firm Sequoia Capital today offloaded over 24 lakh shares of the Hyderabad-based firm for nearly Rs 32 crore.

Akula, former chairperson who was later forced out of the country's only listed microfinance firm, today sold his entire residual holding of 9,06,724 shares, or 0.84 percent stake Rs 12 crore, according to data available with bourses.

There have been speculations about Akula's return to the company which is currently being run by its board and a professional management team. Besides, Sequoia Capital, which has been a promoter entity and an early stage investor, also sold 15 lakh shares of the Hyderabad-based company for around Rs 20 crore.

Shares of SKS today jumped by nearly 12 percent to end at Rs 132.30 apiece. As of June quarter, Sequoia Capital held 41.12 lakh shares, amounting to 3.80 percent, of SKS Microfinance.

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The shares were offloaded on an average price of Rs 132 through open market route, data showed. Meanwhile, SKS Mutual Benefit Trust Medak picked up 10.25 lakh shares of the microfinance player in a transaction worth Rs 13.41 crore. In November 2011, Akula had resigned from the SKS Microfinance's board with immediate effect in the wake of huge losses suffered by the Hyderabad-based firm.

The company's operations went into a tailspin after Andhra Pradesh came up with regulations in October 2010 restricting lending and recovery. For the quarter ended June 30, 2013, SKS Microfinance reported a net profit of Rs 5 crore as against the loss of Rs 39 crore in the same quarter a year ago.

The company attributed its third consecutive quarterly profit to team's tireless implementation of the four-pronged turnaround strategy of fully providing for the Andhra Pradesh exposure, managing the supply-side shock, cost structure optimisation and recapitalisation.