Shaily Engineering Plastics Fall 1% After ADIA, Motilal Oswal MF, and Global Investors Acquire 2.9% Stake for ₹284 Crore

Rania, October 8: Shaily Engineering Plastics Limited’s share price is witnessing a decline today, after the company announced that global and domestic institutional investors have collectively acquired a 2.9% stake in the company. As of 9:30 AM, the shares were down by 1%, or 24.10 points, and were trading at ₹2,383.60. The traded volume stood at 1.13 lakh shares, with the company’s market cap at ₹11,065 crore. Until now, the shares have traded within a range of ₹2,438 and ₹2,335. The shares have their 52-week high at ₹2,670 and their 52-week low at ₹871.10.

Shaily Engineering Plastics Limited is an Indian company that is engaged in precision polymer engineering. The company was established in 1987 and is headquartered in Rania, Gujarat. The shares of the company are listed on NSE with the ticker symbol SHAILY and on BSE with the code 501423.

₹284 Crore Investment Boost from Global and Domestic Funds

The mixed sentiment in the share price of the company comes after Shaily Engineering announced that global and domestic institutional investors, including the Abu Dhabi Investment Authority (ADIA), Motilal Oswal Mutual Fund, BofA Securities, and Société Générale, have collectively acquired a 2.9% stake in the company for about ₹284 crore through open market transactions.

The investment round also attracted participation from 360 One Group, Aditya Birla Sun Life Mutual Fund, Trust Mutual Fund, Stallion Asset Pvt Ltd, Samyak Enterprises, and Subhkam Ventures I. As part of the 2.95% acquisition, these investors purchased 13,33,155 shares, representing a 2.90% equity stake, at an average price of ₹2,134 per share.

Lighthouse Funds Trims Stake

Mumbai-based private equity firm Lighthouse Funds sold all the 13,33,155 shares in 11 tranches through its arm Lighthouse India Fund III Ltd. With the sale, Lighthouse’s stake in the company has now declined to 1.3%, from the previous 4.27%.

Share Price Fall Despite Block Deal

Although the new acquisition showcases that these major institutional investors have confidence in the company’s long-term potential, the stake sale by its current stakeholder, Lighthouse India Fund III Ltd, has negatively affected investor sentiment. It remains to be seen how the shares perform in the coming quarters.

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