Sat Industries shares jump 12% as Society Generale picks up stake

Shares of Sat Industries surged more than 12 per cent during Friday's trading session as Societe Generale picked up stake in the company via bulk deal. Sat Industries' material subsidiary Aeroflex Industries is looking to launch its initial public offering (IPO) soon.

According to the bulk deal data from National Stock Exchange (NSE),  Societe Generale picked up 16,10,437 equity shares of Sat Industries on Thursday, July 6 at an average price of Rs 85.05 apiece, aggregating to Rs 13.69 crore.

Shares of Sat Industries surged more than 12 per cent to Rs 101.17 on Friday, hitting its new 52-week highs as the company commanded a total market capitalization of more than Rs 1,1100 crore. The scrip had settled at Rs 90.26 on Thursday, July 6.

Ahead of the launch of the, a host of marquee investors have picked up stake in Aeroflex. The company is likely to announce its Rs 350-crore primary stake sale soon. Sat Industries sold a total of 7.6 per cent stake in its material subsidiary and garnered a total of Rs 76.14 crore in June.

Sat Industries sold 40,63,337 equity shares, or 3.55 per cent stake of Aeroflex Industries at an issue price of Rs 87.56 apeice on June 13, 2023. It has sold stake to Carnelian Structural Fund managed by Vikas Khemani, Jagdish Master, Rosy Blue India, VPK Global Ventures Fund, Samedh Trinity Partners, Shyam Agarwal, Mitul Prafulbhai Mehta and Rajnik Savaliya for Rs 35.58 crore.

Even prior to this, Sat Industries had sold 4.05 per cent stake in Aeroflex Industries to Ashish Kacholia and Bengal Finance and Investments at a issue price of Rs 87.56 apiece for an aggregate amount of Rs 40.56 crore on May 15, 2023. 

Also, the company's DRHP, filed in March 2023, does not contemplate any pre-IPO placement to be carried out by its lead manager. Pantomath Capital Advisors is the sole manager of the issue.

Aeroflex exports make-in-India metallic flexible flow solutions to more than 85 countries, as exports account for more than 80 per cent of the company’s total revenues.  Aeroflex’s metallic flexible flow solutions replace rubber and polymer pipes and tubes used in fire-fighting, aviation, space, defence, semiconductors, electric vehicles, oil & gas and chemicals sectors.

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