Leading foreign institutional investor Merrill Lynch Capital Markets and Rare Enterprises promoted by big bull Rakesh Jhunjhunwala have sold part of their stakes in the Chennai-based mid-cap pharmaceutical company, Orchid Chemicals and Pharmaceuticals (Orchid) in the open market. While Merrill sold its stake for R264.69 per share, Rare Enterprises offloaded part of its stake at a price of R274.55 per share.
Orchid Chemicals shares are currently trading at R281 levels and the stock had an yearly high of R344.40 and a yearly low of R128. Orchid stock closed on BSE at R276.50, down by 3.29%, on Tuesday.
According to information available with FE, the Rakesh Jhunjhunwala-promoted Rare Enterprise had sold six lakh shares of Orchid at a price of R274.55 per share on a single deal on NSE a couple of days back. The sale must have fetched Rare Enterprises close to R16.5 crore. Post-sale Rare Enterprise?s stake in the mid-cap pharma company dropped to 2.7% from the 3.55% it was holding as of the quarter ending December last.
Jhunjhunwala, with his 3.55% stake, was the single largest non-promoter shareholder in Orchid followed by the Life Insurance Corporation of India (LIC) and Serum Institute of India Ltd (SIIL).