Mahindra & Mahindra's promoter group entity Prudential Management and Services Pvt Ltd (PMSL) plans to sell “a small number of shares” in the company, according to an exchange filing. The automaker made the filing in response to media reports that said the promoter group is considering a share sale via a block deal.
“Post transmission of shares of PMSL held by the former Chairman of M&M, Late Keshub Mahindra (who passed away on April 12, 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,” PMSL told M&M in response to the company’s query on the share sale.
Keshub Mahindra was the Chairman Emeritus of Mahindra Group. He joined the Mahindra in 1947 and was its chairman from 1963 to 2012. Anand Mahindra, the current Chairman of Mahindra Group, is the nephew of the late Keshub Mahindra.
As per the data available on the BSE, the promoter group holds a 19.32% stake in M&M, of which Prudential Management and Services Private owns 11.64% and M&M Benefit Trust holds a 6.95% stake.
“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 in the exchange filing.
On Tuesday, CNBC reported that Prudential Management and Services is likely to sell 93 lakh shares of M&M via a block deal, and the size of the deal could be USD 17,777 million. Meanwhile, a report on Moneycontrol said a promoter group entity of M&M is weighing the sale of around 0.75% stake in the firm to raise around USD 215 million.