Kingfisher Finvest India, the promoter of crisis-hit Kingfisher Airlines, has sold 4 crore shares of the carrier to UB International Trading for Rs 23 crore.
Prior to the transaction, Kingfisher Finvest held 7.21 per cent stake in the cash-strapped carrier, which has been grounded for more than a year now. Post the transaction, Kingfisher Finvest's holding in the airline came down to 2.27 per cent.
The transaction between Vijay Mallya-owned companies was done through an off-market transaction, according to various disclosures by Kingfisher on the Bombay Stock Exchange.
Burdened with huge losses and large debts, Kingfisher Airlines stopped flying in October 2012. Its flying licence also lapsed about two months later. The airline owes over Rs 7,000 crore to a group of 17 banks, which have been not serviced since January 2012.
The total promoter holding in the carrier stands at 32.12 per cent for the quarter ended September 30.