Menu

BlockDeal

Nila Spaces Jumps 10% as Wellness Housing Project Gets RERA Clearance
Banking, Equities, Market News - June 21, 2025

Aeroflex Industries jumps 29% in three days on Kacholia backing.

Aeroflex Industries jumps 29% in three days on Kacholia backing.

Specializing in stainless-steel flexible hoses, small-cap player Aeroflex Industries has seen its stock price soar by almost 29% over the past three sessions. The surge comes amid strong value buying, increasing investor interest, and the backing of well-known investor Ashish Kacholia, who has steadily increased his stake in the company. The sharp upswing has sparked discussions in market circles regarding the stock’s potential and the company’s growth prospects.

Strong Rally Driven by Heavy Volumes

Aeroflex Industries’ stock rallied approximately 11% on June 20, 2025, closing near ₹216–₹217 per share, its strongest level in nearly four months. This rally is not a one-day phenomenon. In the last three consecutive trading sessions, the stock has surged a remarkable 29%, fueled by unusually heavy trading volumes.

The BSE recorded trading volumes exceeding 87 lakh shares, significantly higher than the company’s two-week average of about 6.97 lakh shares. Such a sharp increase in volume suggests that aggressive buying interest is supporting the current uptrend. Analysts view this surge as a technically driven move, supported by strong market momentum.

Technical Breakout and Bullish Indicators

Technical charts have confirmed a breakout for Aeroflex Industries. The stock has convincingly moved above its key moving averages ranging from the 5-day to the 200-day averages. Additionally, the Relative Strength Index (RSI) has crossed 80, indicating a strong bullish sentiment, though now approaching overbought territory.

The Moving Average Convergence Divergence (MACD) indicator has also flashed a positive crossover, confirming the upward momentum. These signals, along with significant volumes, suggest that the current rally is well-supported by market participants.

Ashish Kacholia’s Growing Stake Boosts Confidence

One of the key reasons driving optimism around Aeroflex Industries is the involvement of ace investor Ashish Kacholia, who is known for spotting multi-bagger small-cap stocks. According to March 2025 shareholding records, Kacholia raised his stake in the company to 1.92%, compared to 1.8% in December 2024.

Kacholia’s steady accumulation has boosted confidence among retail and institutional investors alike. His presence is often seen as an endorsement of a company’s future potential, especially within the small-cap space.

Strong Post-IPO Performance

Aeroflex Industries made its stock market debut in August 2023, with its IPO priced at ₹197 per share. On the listing day, the stock saw an impressive 83% premium, closing significantly higher than its issue price. Since its debut, the stock has roughly doubled, reflecting investor faith in the company’s growth trajectory.

Despite some periods of price consolidation, the stock has managed to retain market interest due to its solid business model and steady financial growth.

Financial Performance and Growth

In the fourth quarter of FY25, Aeroflex Industries posted a 16% year-on-year increase in revenue, totaling ₹92 crore. Net profit for the same period grew by 12% year-on-year to approximately ₹11 crore. Aeroflex Industries also posted a 21% rise in EBITDA, which reached ₹19 crore, with the EBITDA margin improving to 20.7%.

The company reported a solid full-year performance in FY25, with revenue rising by 18% and net profit growing by 26% to ₹53 crore. This steady financial growth has provided a strong foundation for the recent rally and justified investor optimism.

Operational Expansion and New Product Launches

Aeroflex Industries is not only growing financially but also expanding operationally. In January 2025, the company commenced the production of Metal Bellows, a specialized product used in various industrial applications. The annual production capacity for Metal Bellows is now pegged at 120,000 units.

Furthermore, the company has expanded its stainless-steel hose production capacity from 15 million meters to 16.5 million meters per year. Its composite hose manufacturing capability has also doubled from three lines to six lines, indicating the company’s readiness to meet growing market demand.

Valuation and Market Metrics

The company currently has an estimated market capitalization of approximately ₹2,700 crore. Its price-to-earnings (P/E) ratio ranges between 48x to 53x, which is relatively high, reflecting the market’s growth expectations. The price-to-book (P/B) ratio stands around 8.5x, and the stock has exhibited high volatility, with a beta close to 1.6.

While valuations appear stretched, the company’s growth trajectory, operational expansion, and high-profile investor backing seem to justify the premium at this stage.

Conclusion

The recent rally in Aeroflex Industries highlights a powerful combination of technical momentum, strong financial performance, and investor backing from seasoned market participants like Ashish Kacholia. The company’s proactive expansion efforts, new product offerings, and consistent earnings growth have further strengthened investor conviction.

As the stock continues to attract attention, particularly from value and momentum investors, Aeroflex Industries appears well-positioned to maintain its upward momentum in the near term. However, given the recent sharp rise, market participants may watch for potential consolidation before the next leg of the rally unfolds.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

The image added is for representation purposes only

B.R. Goyal Infra Shares Rise 7% After New Sewer Project Win

, , , , , , , , , 0 Comment
Read More
A New Chapter for Vishal Mega Mart: Major Stake Trim and a $588 Million Deal on the Horizon
Market News - June 17, 2025

A New Chapter for Vishal Mega Mart: Major Stake Trim and a $588 Million Deal on the Horizon

A New Chapter for Vishal Mega Mart: Major Stake Trim and a $588 Million Deal on the Horizon

In a strategic capital-raising initiative, Vishal Mega Mart’s parent firm plans to reduce its stake as the retailer posts impressive FY25 growth.

Vishal Mega Mart Promoter Plans Major Stake Sale

Marking a notable move within India’s retail landscape, the parent firm of Vishal Mega Mart, Samayat Services LLP, is gearing up to divest 10% of its holdings via a large-scale block transaction. The transaction, aimed at mobilizing around $588 million, is part of a broader strategic effort to unlock value as the company rides a wave of strong financial growth.

This potential divestment signals growing interest and momentum in the Indian retail space, where high-performing brands like Vishal Mega Mart are attracting institutional attention amid favorable market conditions.

Floor Price Set Below Market Rate

According to industry sources, the block deal has already been launched. The minimum offer price for the stake sale has been pegged at ₹110 per share—reflecting a discount of nearly 11.9% compared to Vishal Mega Mart’s most recent BSE closing value of ₹124.90. This pricing strategy could be intended to draw large institutional investors by offering a substantial discount to the current market rate.

While the names of buyers remain undisclosed, the block deal structure is typically favored for high-volume share transfers, especially when aiming to minimize volatility in public trading.

Current Shareholding and Strategic Implications

Samayat Services LLP currently holds a dominant 74.5% stake in Vishal Mega Mart. Post this transaction, its holding would drop to roughly 64.5%, marking a significant reduction but still retaining majority control.

This partial stake sale might be part of a long-term capital restructuring or preparatory steps toward a future public offering or business expansion. Such moves often align with broader corporate strategies involving diversification, debt reduction, or increased liquidity.

Robust Q4 FY25 Performance Fuels Investor Confidence

Vishal Mega Mart recently delivered a strong set of financials for the fourth quarter of FY25. The company reported a substantial 88.03% year-on-year increase in net profit, reaching ₹115.11 crore compared to ₹61.22 crore during the same period last year.

Revenue for the quarter also witnessed healthy growth, rising by 23.15% to ₹2,547.89 crore from ₹2,068.93 crore year-over-year. These performance metrics highlight the company’s solid footing in the competitive retail space and may contribute to heightened investor interest in the ongoing stake sale.

Full-Year Results Highlight Sustained Momentum

The company’s performance over the full financial year has also been impressive. For FY25, net profit surged 36.81%, climbing to ₹631.97 crore from ₹461.94 crore in FY24. Similarly, annual revenue saw a 20.25% jump, touching ₹10,716.35 crore compared to ₹8,911.95 crore in the previous year.

These numbers underscore Vishal Mega Mart’s consistent growth trajectory, efficient operational management, and expanding consumer base, all of which contribute to its appeal in the capital markets.

Broader Context: Indian Retail Landscape and Growth Trends

Vishal Mega Mart’s move comes at a time when the Indian retail sector is experiencing a paradigm shift. With increasing urbanization, a rising middle class, and changing consumer behavior, modern retail chains are gaining significant traction. Fashion-focused hypermarkets, in particular, are seeing increased footfall and customer loyalty due to their value-driven offerings.

As the company capitalizes on these tailwinds, strategic moves like partial stake sales can serve to attract capital and partnerships necessary for scaling operations, improving supply chains, or expanding geographically.

Share Market Snapshot and Investor Reaction

At the close of trading on Monday, Vishal Mega Mart shares stood at ₹124.90 on the BSE. While the block deal price represents a notable markdown, the current bullish sentiment surrounding the company may help absorb short-term pricing adjustments.

Market watchers are likely to keep a close eye on the transaction’s impact on share price dynamics and subsequent institutional participation, especially given the company’s strong earnings and healthy fundamentals.

Final Thoughts

Vishal Mega Mart’s decision to divest a 10% stake through a $588 million block deal marks a significant move in its corporate journey. With the promoter still retaining majority control post-sale, the transaction reflects a balanced approach to capital generation while maintaining strategic oversight.

Strong financial performance across both quarterly and annual metrics provides a solid foundation for this fundraising initiative. In a broader sense, this development underscores the increasing maturity of India’s retail sector, where well-performing brands are beginning to attract larger capital flows through structured equity transactions.

As Vishal Mega Mart continues to grow and evolve, this stake sale may very well serve as a catalyst for its next phase of expansion or market realignment.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

The image added is for representation purposes only

India Eyes Landmark Oil Discovery in Andaman Sea, Signals Energy Breakthrough

, , , , , , 0 Comment
Read More
Tanla Platforms Shares Jump Nearly 13% Ahead of Possible Third Buyback Plan
Market News - June 12, 2025

Eternal Ltd. Shares Climb Following ₹156 Crore Block Deal

Eternal Ltd. Shares Climb Following ₹156 Crore Block Deal

Eternal Ltd. (Zomato’s parent) sees a surge after a major block trade, even as competitive pressures mount in India’s food delivery sector.

Block Deal Details: A Major Transaction
Eternal Ltd. experienced a notable pre-market block deal where 60.93 lakh shares—accounting for 0.06% of its total outstanding equity—were traded at an average price of ₹256 per share, amounting to a total transaction value of ₹156 crore. This large trade was executed in the block deal window and immediately impacted the stock’s performance, pushing its price up by as much as 2% during the session.
The deal was part of a broader day in the Indian markets that saw several large block trades, but Eternal’s transaction stood out due to its size and the company’s prominence in the fast-evolving online services space.

Market Reaction: Share Price Rebounds
Following the block deal, Eternal’s share price opened at ₹258 and traded as high as ₹259.85, marking a 1.62% gain on the day. This rebound broke a two-day losing streak for the stock, which had been under pressure due to concerns about intensifying competition in the food delivery sector. Despite the uptick, the stock remains down over 6% for 2025, reflecting the volatility and uncertainty in the sector.

Competitive Pressures: Rapido’s Entry Shakes Up the Market
A key factor influencing Eternal’s recent share price performance has been the entry of Rapido, a well-known cab-hailing platform, into the food delivery market. Rapido has started onboarding restaurants for its pilot project in Bengaluru, offering a flat delivery rate and significantly lower commission fees—between 8% and 15%—compared to the 15%-30% typically charged by established players like Zomato and Swiggy.
Rapido’s aggressive pricing strategy is designed to attract both restaurants and customers, leveraging its existing user base of 30 million monthly active users. This move threatens to disrupt the current duopoly and has sparked concerns about potential margin pressures for incumbents.

Industry Context: IPO Delays and Market Sentiment
The competitive landscape remains dynamic, with recent reports suggesting a delay in the IPO of Zepto, another food delivery startup. This news had briefly buoyed shares of both Eternal and Swiggy last week, as investors anticipated less immediate competition for capital and market share. Zepto, however, has clarified that its IPO filing is scheduled for later in 2025, maintaining ambiguity in the market’s competitive dynamics.

Eternal Ltd. Financial Performance and Analyst Outlook
Despite the recent volatility, Eternal Ltd. has posted strong financial results for FY25. With consolidated revenue reaching ₹20,243 crore—up 67% from the previous year—and net profit climbing 139% to ₹697 crore, the company delivered robust financial performance. Key financial metrics as of June 2025 include:
• Return on Equity (ROE): 5.15%
• Price-to-Earnings (P/E, TTM): 426.13x
• Price-to-Book (P/B): 6.95x
Investor sentiment remains positive, with close to 80% of analysts issuing a ‘BUY’ rating and an average target price of ₹271.86. The company’s expansion into quick commerce through Blinkit and its strong revenue growth are seen as positives, but high valuations and competitive risks remain key concerns.

Recent Block Deals: Not an Isolated Event
This is not the first ₹156 crore transaction involving Eternal Ltd. In late May 2025, BNP Paribas Financial Markets purchased over ₹1,480 crore worth of Eternal shares, reflecting continued institutional interest in the company. Such large trades often signal confidence from sophisticated investors, though they can also reflect portfolio rebalancing or strategic shifts.

What’s Next for Investors?
Eternal’s recent stock performance and block deal activity underscore its attractiveness to both institutional and retail investors. The company’s strong growth trajectory, leadership in food delivery, and expansion into new verticals are balanced by the threat of new entrants like Rapido and the ever-present challenge of high valuations.
Investors should monitor:
• Evaluating the response to Rapido’s food delivery pilot and its prospects for wider adoption.
• Developments around Zepto’s IPO and broader sector competition.
• Eternal’s ability to maintain growth and profitability amid rising costs and competitive pressures.

Conclusion
The ₹156 crore block deal in Eternal Ltd., followed by a stock price uptick, signals ongoing investor enthusiasm for the country’s online services and food delivery market. While the company’s fundamentals remain strong, the evolving competitive landscape and high valuations warrant careful attention. For now, Eternal stands at the crossroads of opportunity and challenge, with its next moves likely to shape both its own future and that of the broader industry.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

The image added is for representation purposes only

BofA’s Stake Purchase Triggers Strong Rise in Oriental Carbon Stock.

, , , , , , , , , 0 Comment
Read More
Goldman Sachs Acquires Stake in Vodafone Idea: The Block Deal That Captured Investors’ Attention
Business, Market News - April 28, 2025

Goldman Sachs Acquires Stake in Vodafone Idea: The Block Deal That Captured Investors’ Attention

Goldman Sachs Acquires Stake in Vodafone Idea: The Block Deal That Captured Investors’ Attention

 

 

Goldman Sachs purchases a 0.55% stake in Vodafone Idea through a block deal, sparking market interest and boosting the company’s share price.

Introduction
In a significant move in India’s stock market, shares of Vodafone Idea Ltd (Vi) have gained significant attention after Goldman Sachs (Singapore) Pte acquired a substantial stake in the company via a block deal. The deal, which saw Goldman Sachs purchasing about 60 crore shares from Nokia Solutions and Networks India, has drawn significant attention, raised the company’s stock price and sparked market interest. The deal underscores the rising attention towards Vodafone Idea, particularly as it faces ongoing struggles in India’s highly competitive telecom industry.

Goldman Sachs’ Strategic Acquisition

Goldman Sachs acquired around 60 crore shares of Vodafone Idea at ₹7.65 each, totaling ₹457.96 crore. This move has given Goldman Sachs a 0.55% stake in the telecom company, a deal that has reverberated through the stock market. Following the announcement, Vodafone Idea’s shares saw an uptick, rising by 1% in early trading hours. This move highlights Goldman Sachs’ interest in Vodafone Idea, which, despite facing fierce competition and financial hurdles, continues to be an attractive choice for institutional investors.
The deal represents a positive step for Vodafone Idea, which has been grappling with large debts and fierce competition from players like Reliance Jio and Bharti Airtel. The block deal’s successful completion shows a vote of confidence from Goldman Sachs, and it is seen as an indication of Vodafone Idea’s long-term viability in the telecommunications industry.

Nokia’s Exit and Impact on Vodafone Idea
The deal was significant not just because of Goldman Sachs’ involvement but also due to Nokia’s role in the transaction.

In the block transaction, Nokia offloaded 102.7 crore shares, valued at ₹785.67 crore. The deal was executed at ₹7.65 per share, in line with the valuation of Vodafone Idea’s stock at the time.
Nokia’s exit has been a major event for the company, given that it had been one of the key institutional shareholders in Vodafone Idea. While Nokia’s decision to sell could be seen as a strategic move to cash in on its holding, the timing of the deal coincides with a broader shift in the market, where institutional investors are increasingly looking to secure stakes in troubled companies at attractive valuations.

Market Reaction and Impact on Stock Price

Following the announcement of the block deal, Vodafone Idea’s share price rose by 1.47%, sparking market optimism. This uptick reflects not just the increased institutional interest but also investors’ reactions to the potential future upside of the telecom company. The deal comes at a time when Vodafone Idea’s stock had been trading below ₹15 per share, making it an attractive buy for large institutional investors looking to take a position in the firm.
Vodafone Idea has long been in the spotlight due to its financial struggles, particularly its massive debt burden. However, as major institutional players like Goldman Sachs take a stake in the company, it is seen as a sign of future growth prospects, which has spurred investor optimism. This move may also signal that the company could be on the path to recovery or that strategic changes are underway.

SEBI Regulations and the Role of Block Deals

The block deal between Nokia and Goldman Sachs also highlights the evolving regulatory framework in India’s stock market. The Securities and Exchange Board of India (SEBI) has increasingly pushed for transparency and fairness in such deals, ensuring that these transactions are in line with market regulations. In the case of the Vodafone Idea deal, the transaction was carried out with transparency, ensuring that shareholders and investors were kept informed.
Block deals, which involve the purchase of large quantities of shares, are often used by institutional investors to acquire significant stakes without causing market disruptions. These deals can also help improve liquidity in the market and encourage broader participation from smaller investors.

Conclusion

Goldman Sachs move has brought the telecom company back into the spotlight. With this move, Goldman Sachs is signalling confidence in Vodafone Idea’s long-term prospects, despite its current financial challenges. The deal has also sparked interest in the stock, pushing its price up and giving investors hope for potential growth.
The exit of Nokia Solutions and Networks India from the company has added a layer of intrigue to the deal, but overall, the involvement of institutional investors in the telecom sector could bode well for Vodafone Idea’s future. With a new round of institutional interest and regulatory backing, Vodafone Idea may be in a better position to overcome its challenges and secure a stronger market position in the coming years.

 

 

 

The image added is for representation purposes only

Silver’s Potential to Outshine Gold in 2025: What Investors Need to Know

, , , , , , , , , 0 Comment
Read More