EasyMyTrip's shares plummeted to their lower circuit, with a drop of 20 per cent on the NSE on Wednesday (September 25) bringing the price down to Rs 32.78 apiece. On the BSE, the decline was equally severe, with the stock hitting a day’s low of Rs 33.14, a 19 per cent drop.
This sharp decline in share price was in response to a block deal involving shares worth Rs 176.5 crore of EaseMyTrip (Easy Trip Planners Ltd) that took place.
Approximately 4.6 crore shares, a 2.6 per cent of the company’s total equity, changed hands at a floor price of Rs 38 per share, as per various reports.
As of 3:00 pm IST, the shares of the company were trading at Rs 34.32 apiece, down by 16.25 per cent.
share performance |
The shares of the company opened at Rs 39.30 on Wednesday and hit a low of Rs 32.78 during the intraday trading session.
Promoter’s Stake Sale Triggers Concerns
The significant sell-off was linked to the company’s promoter, Nishant Pitti, who offloaded 2.7 per cent of his stake.
According to reports Pitti might sell up to 8.5 per cent of his holdings, with potential block deals estimated at around Rs 622 crore.
As of June 2024, Pitti held 28.13 per cent of the company, with promoters collectively holding 64.3 per cent. The remaining shares are distributed among public shareholders, who own 35.7 per cent of the equity.
Apart from the share decline, the company on September 25, through an exchange filing announced its collaboration with Bank of Baroda.
In the regulatory filing, the company wrote, "Bank of Baroda, one of India’s leading public sector banks, in collaboration with EaseMyTrip.com, one of India's largest online travel tech platforms, today announced the launch of the Bank of Baroda EaseMyTrip Co-branded Travel Debit Card, designed to cater to frequent travellers and entertainment & lifestyle enthusiasts. This is the first co-branded travel debit card to be launched by a public sector bank."
