SAIF Partners reduces stake in Senco Gold with Rs 432.72 crore deal 

Following the transaction, shares of Senco Gold experienced a 1.30% increase, closing at Rs 964.35 per share on the BSE 

Mumbai: In a significant market move, Hong Kong-based SAIF Partners has divested a 5.8% stake in the jewellery retailer Senco Gold, amounting to Rs 432.72 crore. This transaction, executed through an open market route, involved SAIF Partners India IV Ltd. selling 45,07,487 shares on the Bombay Stock Exchange (BSE). 

The bulk deal data on the BSE reveals that the shares were sold at an average price of Rs 960.02 each, culminating in the substantial deal value of Rs 432.72 crore. As a result, SAIF Partners’ shareholding in Senco Gold decreased from 10.77% to 4.97%. 

Several key buyers emerged in this transaction. India Acorn ICAV, Motilal Oswal Equity Opportunities Fund Series-II, and Apah Capital Master Fund collectively acquired 15,51,000 shares at Rs 960 each, totaling Rs 148.94 crore. 

Following the transaction, shares of Senco Gold experienced a 1.30% increase, closing at Rs 964.35 per share on the BSE. This stake reduction by SAIF Partners marks a noteworthy adjustment in the ownership structure of Senco Gold, reflecting ongoing investor interest and activity in the market. 

This move may come as a surprise to many as the listed jewellery firm clocked a 23.6% rise in net profit in Q4 of FY24 as per reports published last month. Net profit went up to Rs 32.17 crore compared to Rs 26.03 crore in Q4 of FY23. Revenues from operations in Q4 witnessed a 39.7% growth to Rs 1,137.2 crore compared to Rs 813.93 crore in Q4 of FY23. 

For the entire FY24, SENCO Gold’s net profit increased by 14.2% to Rs 181.01 crore, and revenues from operations surged by 28.5% to Rs 5,241.4 crore. 

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