3 MTAR Tech promoters offload Rs 75 crore shares through block deals

MTAR Technologies shares swung between gains and losses on Thursday, a day before after three of its promoters sold six lakh shares, worth about Rs 75 crore, in the precision engineering company through block deals.

The shares gained as much as 2.9 percent during early morning trade before falling as much as 1.4 percent on the BSE. At 2 pm, shares of MTAR Tech pared much of its losses to trade at Rs 1,243.15, down 4.45 points or lower by 0.36 percent.

Dwaram Anitha Reddy, Usha Reddy Chigarapalli and Kavitha Reddy Gangapatnam — part of the promoter Reddy family — offloaded two lakh MTAR shares each at an average price of Rs 1,250.6 apiece, according to exchange data.

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The three had held a total of 13.62 percent stake in MTAR Tech at the end of March 2022.

MTAR Tech shares declined by as much as Rs 17.6 or 1.4 percent on Thursday to Rs 1,230 apiece on BSE, reversing course after rising to as high as Rs 1,284 apiece initially.

Hong Kong-based investment firm Segantii and HDFC Mutual Fund purchased three lakh and two lakh shares of the company respectively.

Earlier in the month of June, the company’s board approved the acquisition of shares of Gee Pee Aerospace & Defence Pvt. Ltd., an MSME company, for a consideration of Rs 8.82 crore.

MTAR Technologies shares began their journey in the secondary market on Dalal Street in March 2021 — one of the best listings in a year that saw a majority of companies enjoying a robust response from investors. The Hyderabad-based engineering company's IPO to raise Rs 596 crore saw a subscription of 201 times the shares on offer.

As of Wednesday's closing price, the MTAR Tech stock is more than double the upper end of its IPO price. MTAR Tech shares debuted at a premium of 85 percent over the issue price and have continued to rise ever since.