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Promoters Cash In: ₹24,000 Cr Stocks Sold Amid Rebound
30 Jun
Summary
- Promoters offloaded over ₹24,000 crore in stocks during May and June.
- Domestic mutual funds, fueled by SIP inflows, are major buyers.
- Market rebound in mid- and small-caps created favorable selling conditions.
Promoters and large shareholders have cashed in on a stock market rebound, offloading shares valued at over ₹24,000 crore during May and June. This significant volume of secondary market transactions reflects a revival in institutional appetite for large share sales.
Domestic mutual funds, bolstered by consistent retail money flowing through Systematic Investment Plans (SIPs), have been the primary buyers. These conditions have prompted promoters and early investors to monetize holdings and rebalance portfolios, seizing favorable market opportunities.
The rebound in mid- and small-cap stocks, with indices showing significant gains since March 30, has created an opportune time for such sales. This has been further supported by a relatively muted IPO pipeline, redirecting investor funds into secondary market deals.
Some share sales are also attributed to the expiry of IPO lock-in periods, allowing pre-IPO shareholders to divest. Experts anticipate this trend of secondary market deals to continue due to a healthy pipeline of exits and sustained institutional demand.
