DHFL gains 6% as board approves stake sale in Avanse Financial

Shares of Dewan Housing Finance Corporation (DHFL) rose 6 percent intraday Monday as the company is selling its entire stake in Avanse Financial Services.

As per company release on BSE, “the special committee of the board of directors at its meeting held on March 16 considered and accorded approval to disinvest to Olive Vine Investment an affiliate of the Warburg Pincus Group, 1,92,50,719 equity shares constituting 30.63 percent of the paid up capital of Avanse Financial Services i.e. its entire shareholding held in Avanse.”

The company has entered into a share purchase agreement with the Acquirer, Avanse and the other sellers including Wadhawan Global Capital promoter entity of the company.

The proposed transaction is subject to applicable regulatory and other approvals and certain other conditions.

At 10:54 hrs, Dewan Housing Finance Corporation was quoting at Rs 137.15, up Rs 5.15, or 3.90 percent on the BSE.

The share touched its 52-week high of Rs 690.00 and 52-week low of Rs 97.00 on 3 September, 2018 and 04 February, 2019, respectively.

Currently, it is trading 80.23 percent below its 52-week high and 40.62 percent above its 52-week low.