Promoters of listed providers continued to reduce pledged shareholdings in the initial quarter of the present economic year. Data sourced by domestic brokerage and investigation firm Kotak Securities showed that the worth of pledged promoter holdings as a percentage of the worth of total promoter holdings fell to 1.61% in the April-June quarter from 1.64% in the January-March quarter. The April-June quarter was the second consecutive quarter with no BSE 500 corporation getting more than 90% of its promoter holdings pledged.
At the finish of June this year, promoters of only 78 of all the BSE 500 providers had pledged element of their holdings. “The value of pledged promoter holdings was Rs 1.7 lakh crore at end-June 2021, which is about 0.81% of the total BSE-500 Index’s market capitalization,” Kotak Securities mentioned. High promoter pledging is not an indication of economic tension for a corporation. Banks usually seek extra safety in the kind of promoter shares.
Pledged shareholding reduces
– At the finish of June 2021, no BSE 500 corporation had more than 90% of their promoter shareholdings pledged.
– Companies in which pledged promoter holdings fell: Crompton Greaves Consumers, Max Financial Services, Dish Television, Edelweiss Financial Services and Gateway Distriparks, amongst other folks.
– Promoters of 78 providers in the BSE-500 Index pledged element of their holdings in the April-June quarter.
– Nifty-50 providers exactly where promoter pledged holdings fell: Adani Ports & SEZ, Asian Paints, JSW Steel and Sun Pharmaceuticals.
Nifty 50 providers with more than 5% pledged promoter holdings
-IndusInd Bank – 45.5% pledged, up from 36% in Jan-Mar quarter
-JSW Steel – 14.8% pledged, down from 17.7% in Jan-Mar quarter
-Adani Ports & SEZ – 14.4% pledged, down from 16% in Jan-Mar quarter
-Asian Paints – 9% pledged, down from 9.4% in Jan-Mar quarter
-Sun Pharmaceuticals – 6.4% pledged, down from 8.6% in Jan-Mar quarter
The worth of IndusInd Bank’s pledged shareholding stands at Rs 5,400 crore, when that of JSW Steel is at Rs 10,700 crore, and for Adani Ports is Rs 13,200 crore.
Companies with the highest promoter pledges as a percentage of their holding
-Suzlon Energy – 88.5% promoter holding pledged
-Future Consumer – 88.4% promoter holding pledged
-GMR Infrastructure – 74.9% promoter holding pledged
-Max Financial Services – 62.2% promoter holding pledged
–Sterling Wilson – 54.7% promoter holding pledged
Highest worth of pledges
*Hindustan Zinc – Rs 21,200 crore
*Asian Paints – Rs 13,700 crore
*Adani Ports & SEZ – 13,200 crore
*JSW Steel – Rs 10,700 crore
Companies that elevated pledges substantially
– Johnson Controls made fresh pledges in the quarter, totalling 32.3% of the whole promoter holdings.
– Wockhardt elevated pledged shareholding to 34.4%, up from 18.7%.
– IndusInd Bank elevated pledged shareholding to 45.5% from 36%.
– S H Kelkar and Company elevated pledged shareholding to 6%.
– GMR Infrastructure pledged shareholding elevated to 74.9% from 72.8%.
– Apollo Hospitals Enterprise pledged shareholding elevated to 30% from 27.9%.