JB Chemicals Block Deal: Stock falls 7% as 90 lakh shares exchanged, KKR likely seller

KKR agreed to buy around 54 percent stake in JB Chemicals for around Rs 3,100 crore in 2020.

Shares of JB Chemicals sank over six percent in early trade on March 27 after a block deal took place on the exchanges. As much as 90 lakh shares of the company, making up a 5.78 percent stake changed hands in the block deal window.

Global private equity firm KKR , the promoter of JB Chemicals and Pharmaceuticals, had launched a block deal with a base size of around $200 million via seeking to dilute part stake in the leading drugmaker, multiple industry sources in the know told Moneycontrol.

At 9.20 am, shares of the firm were quoting Rs 1,597.05 apiece on the NSE, falling by 6.5 percent compared to the previous session's closing price, making it the largest single-day fall in four years.

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"The block deal has been launched a short while back and the plan is to divest around 7 percent stake. There is an upsize option to sell an additional 3.5 percent stake worth around $100 million," said one of the persons cited above.

Tau Investments Holdings PTE Ltd, an affiliate of funds managed by KKR, holds a 53.66 percent stake in JB Chemicals, as per latest exchange data. A second person added, "The floor price is Rs 1,625 per share and Kotak Mahindra Capital, Jefferies, IIFL Capital and Avendus Capital are the investment bankers working on the trade."

In 2025, KKR had held discussions with strategic suitors as well as private equity players to exit JB Chemicals and Pharmaceuticals and sell its entire stake , but those talks did not fructify into a deal due to a valuation mismatch.

In July 2020, KKR agreed to buy around 54 percent stake in JB Chemicals for around Rs 3,100 crore.

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