'Family proposes to sell small number of shares held by PMSL': Mahindra & Mahindra

Mahindra & Mahindra Promoter group subsidiary Prudential Management and Services Pvt Ltd (PMSL) has initiated a sale of up to 9.3 million shares, which is about 0.75% of the company's stake, through block trades. The floor price for the deal is expected to be Rs 1,911.5-1,970.65, CNBC TV18 reported on Wednesday. The deal is at a discount of 0-3% to Wednesday's closing price for the stock. The deal size is likely to be $17,777 million.

Giving a clarification on the media reports, Mahindra & Mahindra said that the family proposes to sell a small number of shares held by Prudential Management and Services in Mahindra & Mahindra. The statement further said that the Mahindra family has no intention to sell further shares in the company in the foreseeable future.

As per data available on BSE, M&M's promoter group holds a 19.32% stake in the company of which Prudential Management and Services Private owns 11.64%. Kotak Mahindra Capital is the advisor for the deal.

“Post transmission of shares of PMSL held by the former Chairman of M&M, Late Mr. Keshub Mahindra (who passed away on 12th April, 2023), to his family members, the family is looking for liquidity for specific needs, and hence proposes to sell a small number of shares held by PMSL in M&M. The family shall continue to retain the status of Promoter Group of M&M and there is no intention to sell further shares in the foreseeable future,” the company said.

Shares of Mahindra & Mahindra closed at Rs 1,968.70, up by almost 2 per cent. In the last three years, the stock has achieved a remarkable return of 133.35%.