Essel Propack shares climb 3% even as Blackstone offloads 23% stake

Shares of Essel Propack climbed almost 3 percent in morning trade on BSE on September 21 even as the firm said Blackstone sold a 23 percent stake in it.

Blackstone sold 23 percent stake in Essel Propack to a clutch of investors, including Axis Mutual Fund, DSP Mutual Fund, Franklin Templeton Mutual Fund, Morgan Stanley, Neuberger Berman, Nomura and others, for a little more than Rs 1,860 crore via open market.

The sale was carried out through Blackstone’s entity Epsilon Bidco in a block deal on September 18. Average share price was Rs 256.5, valuing the transaction at Rs 1,861.68 crore.

Blackstone’s holding in the 37-year-old company has now reduced to 52 percent from the 75 percent acquired in 2019 for Rs 3,211 crore.