Block deal alert: Banga brothers likely to sell 2.1% stake in Nykaa, say Reports
Harindarpal Singh Banga and Indra Banga, the early investors in FSN E Commerce Ventures Limited, the parent company of Nykaa, are looking to offload 2.1 per cent stake in the company, through bulk sale. Sources privy to the development told CNBC TV18 that the equity stake sale will take place through block deals.
The total block size, according to the report, is estimated at Rs 1,200 crore, with the floor price set at Rs 200 per share. The Bangas are offloading about 6 core Nykaa shares.
Another report by Business Today informed that Goldman Sachs (India) Securities and JP Morgan India Private Limited are the placement agents of the 100 per cent secondary offer. The selling party and its affiliates will be subject to a 45-day lock-up period, during which they will be prohibited from selling any further shares.
Harindarpal Banga, chairman of the Hong Kong-based Caravel Group, held an 8.7 per cent stake in Nykaa prior to its 2021 listing. In August 2024, he trimmed his holdings by offloading 4.09 crore shares through a bulk deal. As per the latest shareholding data filed with the stock exchanges for March 2025, Harindarpal Banga held 14.20 crore shares in Nykaa, representing a 4.97 per cent stake in the company.
Nykaa recently held its Annual Investors Day wherein the company management had maintained that India’s lifestyle and discretionary spending categories are expected to grow steadily over the next several years. The company also set its sights high for the coming years with the company unveiling its targets of a 22–25 per cent revenue growth annually and a breakeven in its fashion segment by FY26.
Earlier in June, Nykaa had released its fiscal fourth quarter earnings report with a profit surge of 110 per cent to Rs 19 crore in comparison to Rs 9 crore recorded during the same period of previous financial year. Revenue from operations for the quarter stood at Rs 2,062 crore, posting a growth of 24 per cent.
Shares of FSN E Commerce Ventures were down 3.73 per cent at 10:00 am today at a trading price of Rs 203.85.
