ITC Share Down 20%, Know reason of it’s sudden fall
Tuesday’s 2.5% decline in ITC shares continues the company’s losses from the previous day. With today’s loss, the stock has now dropped 20% from its July 24th, 2018, top of ₹499.7.
This came after the biggest shareholder in ITC, British American Tobacco (BAT), expressed it’s intention to start selling shares as soon as this week.
According to their shareholding pattern from the December quarter, BAT presently has a 29% interest in ITC.
BAT had previously stated that because of their significant stake in ITC, there is a chance to reallocate and release some funds.
“We have been actively working for some time on completing the regulatory process required to give us the flexibility to monetise some of our shareholding and will update you at the earliest opportunity,” the release from BAT stated.
Since the early 1900s, BAT has held some kind of equity in ITC and has seen multiple adjustments to its share capital as well as regulatory limitations.
