Docon Sells 9.9% Stake in Thyrocare for Rs 986 Crore

On Thursday, Docon Technologies, a promoter of Thyrocare Technologies Ltd, divested a significant 9.9% stake in the diagnostics chain. The sale, executed through multiple bulk and block deals on the National Stock Exchange (NSE) and Bombay Stock Exchange (BSE), amounted to Rs 986 crore.

Details of the Transaction

The transaction involved the sale of 1,57,69,696 equity shares. More than 1.31 crore shares were sold via block deals, while 10 lakh shares exchanged hands through bulk deals on the NSE. Additionally, 16.01 lakh shares were sold through a bulk deal on the BSE. The shares were priced between Rs 624 and Rs 631.71 each, culminating in a total transaction value of Rs 985.86 crore.

As a result of this stake sale, Docon's ownership in Thyrocare Technologies has decreased from 60.92% to 51.02%.

Investor Participation

The stake sale attracted interest from a variety of institutional investors, insurance companies, and global investors. Notable buyers included HSBC Mutual Fund, DSP Mutual Fund, ICICI Prudential Mutual Fund, Aditya Birla Sun Life Mutual Fund, WhiteOak Capital Mutual Fund, and ITI Mutual Fund. Insurance firms such as Kotak Mahindra Life Insurance Company and Tata AIA Life Insurance also participated. Global entities like Morgan Stanley, Citigroup Global Markets, HBM Healthcare Investments (Cayman), and the sovereign wealth fund Kuwait Investment Authority were involved through block deals on the NSE.

Market Reaction and Historical Context

Following the transaction, Thyrocare Technologies' stock saw an uptick, gaining nearly 3% to close at Rs 621.95 on the NSE and over 2% to Rs 622 on the BSE. This move comes after Docon's previous sale of a 10% stake in Thyrocare for Rs 667 crore in October of the previous year. The consistent unloading of shares by Docon indicates a strategic realignment of its investment in Thyrocare.

The details of other buyers involved in the bulk deals remain undisclosed on both the BSE and NSE.