Five Star Business Finance block deal: TPG sells shares worth Rs 1,606 crore, Nomura buyer at Rs 752 crore #IndiaFinance

Nomura bought nearly 94 lakh shares worth Rs 752 crore in Five Star Business Finance on Thursday via a couple of block deals. The shares were bought at a price of Rs 800.50 a piece, which were 1% lower from Wednesday’s closing price of Rs 808.40 on the BSE.

Nomura made investments through Nomura India Investment Fund Mother Fund and Nomura Funds Ireland Plc Nomura Funds Ireland India Equity Fund.

Max New York Life Insurance Co and Max Life Insurance Company were other buyers of Five Star Business Finance shares and collectively bought over 34 lakh shares at a cost of Rs 275 crore.

The sellers were Norwest Venture Partners X Mauritius, TPG Asia VII SF Pte Ltd, Peak XV Partners Growth Investments III and Sequoia Capital Global Growth Fund III – Endurance Partners L.P.

TPG Asia sold over 2 crore shares in the company worth Rs 1,606 crore. Norwest Venture sold over 80 lakh shares worth Rs 644 crore.

Peak XV Partners’ 58.76 lakh shares were sold at Rs 471 crore. Meanwhile, Sequoia Capital’s 54.13 lakh shares are worth Rs 434 crore.Five Star Business Finance shares have been market laggards delivering returns of 14% over a 1-year period, which is lower than what Nifty has returned in the said period. Stock’s year-to-date returns stand at 8%. Meanwhile, Nifty has given returns of 33% and 21%, respectively. Five Star Business Finance is a Non Banking Finance Company (NBFC) provides secured loans to micro-entrepreneurs and self-employed individuals for business purposes, as well as for asset creation such as home renovation or improvement.

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