Promoters (funds) owned 41.69% of Sapphire Foods at at September 30, 2023. This was almost 10% lower than 51.26% they held post IPO in November 2021.
- Two promoter entities have now further sold 5.9% stake in the restaurant operator for Rs 530 crore through open market transactions.
- Earlier this month, another promoter entity had offloaded 4.2% for Rs 378 crore.
Adjusted for these, promoter stake should be around 31% currently. These being fund entities (and not typical family promoters of a business), one should not be concerned about them selling stake.
However, it to an extent does indicate not too bullish operational prospects in the short term.
Institutions though, do continue to bet on the long term prospects of the Company. DII + FII combine have increased their stake in the Company from 24.5% in December 2021 to an estimated 62% currently.