Thomas Cook India’s shares faced significant selling pressure today. In intraday trading, it plunged nearly 5%, marking a consecutive slide of almost 15% over three days. This decline in its shares is attributed to an Offer for Sale (OFS) under the Green Shoe Option by its promoter, Fairbridge Capital (Mauritius). Through this OFS, the promoter aims to reduce its stake. The stock faced pressure due to this offer, dropping by 5% intraday to reach 142.85 rupees.
At the day’s close on the BSE, it ended at 146.70 rupees, marking a 2.43% decline. Last month, on November 19, 2023, it hit a record high of 167.75 rupees. On March 28, 2023, it was at a one-year low of 52.45 rupees.
Thomas Cook’s OFS issue opened on November 29 and today was its final day. Fairbridge Capital plans to sell an 8.50% stake through this issue. The base size of the Offer for Sale is 6.8% or 3.2 crore shares. Additionally, in case of oversubscription, a Green Shoe option for an additional 1.70% stake has been included. Since the announcement of this OFS issue, the shares have been sliding, experiencing nearly a 15% decline over three trading days.
As for Fairbridge Capital’s stake in Thomas Cook India, according to the September 2023 quarterly shareholder pattern, it holds a 72.34% stake. Post this OFS issue, the promoter’s stake will reduce to 63.84%. The brokerage firm handling this offer is IIFL Securities Settlement Broker.
