Shares of Hindustan Zinc tanked 7 percent to Rs 452.5 in morning trade on June 18 after Vedanta offloaded a 1.71 percent or 7.2 crore shares of the company through block deals on Wednesday, with the transaction size to be around Rs 3,323 crore.
The floor price for the deal has been fixed at Rs 460.5 per share — over 5 percent lower than Hindustan Zinc’s last close of Rs 485.95 on the NSE. As of December 31, 2024, Vedanta held a 63.42 percent stake in the company, as per BSE data.
Follow our LIVE blog for all the latest market updates
The new integrated zinc metal complex in Rajasthan will include a 250 ktpa smelter at Debari and expanded mining operations. "This expansion aligns with the strong growth in demand both in India and globally over the next five years," Hindustan Zinc said in a release, adding that the project is expected to be completed in 36 months.
DAM Capital Advisors and Citi are the bankers to the block deal.
Shares of Hindustan Zinc declined over 5 percent on Tuesday, extending their five-day losing streak. The stock has dropped more than 8 percent during this period, even as the company announced a major Rs 12,000 crore expansion project.
At about 9:20 am, shares of the company were trading at Rs 457, lower by 6 percent from the last close on the NSE. Hindustan Zinc shares have tumbled 9 percent in the last week. Meanwhile, Vedanta shares were trading at Rs 464, higher by 1 percent.
Disclaimer: The views and investment tips expressed by experts on Moneycontrol are their own and not those of the website or its management. Moneycontrol advises users to check with certified experts before taking any investment decisions.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
