JB Chemicals and Pharma shares decline nearly 7% after 5.78% equity changes hands in block deal

As many as 90 lakh shares or 5.78% equity of JB Chemicals and Pharmaceuticals changed hands in a block deal on Thursday, March 27.

On Wednesday, March 26, CNBC-TV18 had reported, citing sources that Tau Investment Holdings Pte was selling 10.2% stake in the Mumbai-based drugmaker via a block deal.

Sources said the offer price was set at ₹1,625 per share, a 4.9% discount to its last closing price. The total deal size was estimated to be ₹2,576 crore.

There would be a 90-day lock-in period, preventing any further sale of shares, post the block deal, sources said.

At the end of the December quarter, Tau Investment Holdings Pte held 53.66% stake in the company, as per data available on the Bombay Stock Exchange (BSE).

JB Chemicals and Pharmaceuticals reported a 21.6% increase in its December quarter net profit at ₹162.5 crore against the previous year's ₹133.6 crore. Its revenue increased 14.1% to ₹963.5 crore from the previous year's ₹844.5 crore. The company's EBITDA was up 14.1% at ₹254.5 crore over ₹223.1 crore in the year-ago period. Its EBITDA margin was pegged at 26.4%, the same as in the year-ago period.

Shares of JB Chemicals and Pharmaceuticals ended the previous session 2.05% lower at ₹1,695 apiece. The stock was down 6.67% at 1,594.8 apiece at 9.20 am on Thursday, March 27. It has declined 15.13% this year, so far.

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