Promoters buy shares in Edelweiss Financial Services

Two promoters of the company, Rashesh Shah and Venkatchalam Ramaswamy, have collectively bought 4 lakh shares in the company.

Shares of Edelweiss Financial Services hit the upper circuit of 5% after promoters increased their stake in the company. Two promoters of the company, Rashesh Shah  and Venkatchalam Ramaswamy, have collectively bought 4 lakh shares in the company, show the disclosures on the exchanges.

Rashesh Shah, promoter and director of the company, bought three lakh shares at the value of Rs 1.15 crore, which comes to Rs 38.48 per share. Prior to this, Shah had 15.5% stake in the company that increased to 15.58% post acquisition. Ramaswamy bought one lakh equity shares, amounting to Rs 38.47 lakh. Even his shareholding increased to 6.22% from 6.21% post the acquisition.

The shares of Edelweiss Financial Services ended the day at Rs 40.05 on BSE, gaining by 4.98% on Wednesday. In the past one year, the share price of Edelweiss is down by 79% due to the overall weakness in the market. Market participants said: “It shows confidence in Edelweiss and the business potential. This buying of shares coupled with their plan of unlocking value in the businesses makes Edelweiss a great long-term story.”

According to BSE, promoters of the company held 32.89% stake in the company as of December 2019, while 62.30% is held by public, and the remaining 4.81% with other investors.