Shares of PB Fintech, which operates online insurance brokerage Policybazaar and loan market Paisabazaar, plunged 10% to Rs 595 on BSE on Tuesday after Yashish Dahiya, chairman and chief executive CEO of the company revealed its intention to sell up to 3.77. million shares on the open market.
“The Company has received notification from Mr. Yashish Dahiya, Chairman and Chief Executive Officer of the Company, regarding its intention to sell up to 3,769,471 shares via block trades on exchanges,” PB Fintech said in a filing. exchange.
Yashish Dahiya’s aggregate stake as of March 31, 2022 stood at 19 million (4.23%) and after the exercise of 5.5 million ESOPs in May 2022, its aggregate stake increased to 24.52 million ( 5.45%). Since ESOPs are subject to the payment of taxes on exercise in addition to the payment of capital gains tax on the sale of shares, it is proposed to use the proceeds from the sale of the 3.77 million shares to pay current and future taxes. , the company said. CLICK HERE FOR DECLARATION
Earlier, on February 11, 2022, co-founder Alok Bansal sold 2.85 million shares of PB Fintech for Rs 236 crore through an open market transaction. According to NSE wholesale transaction data, Bansal sold shares at an average price of Rs 825 apiece.
PB Fintech launched its initial public offering (IPO) of Rs 5,710 crore in November 2021. The co-founders and other shareholders of the company had reduced their stake in the public offering.
At 09:29; the stock traded down 8% to Rs 604.80, against a 0.86% decline in the S&P BSE Sensex. It had reached a record low of Rs 542.30 on May 12, 2022.
Over the past six months, the stock has underperformed the market, with its price halving or down 49%, against a 4% drop in the S&P BSE Sensex. The stock has corrected 60% from its all-time high of 1,470 rupees reached on November 17, 2021.
PB Fintech had made its stock market debut on November 15, 2021. The company had issued shares at Rs 980 per share.
Technology outlook
View: Cautious
Support: Rs 580
The bears appear to have taken control of the PB Fintech meter as price actions against moving averages and momentum oscillators turn sour day by day. The stock’s 20-day moving average (DMA) is below its 50-DMA, while the 50-DMA is below its 100-DMA, indicating weakness in the stock.
Additionally, the Directional Index (DI), MACD and Slow Stochastic indicators favor the stock’s consolidation. The only support indicator is the Relative Strength Indicator (RSI), which is heading towards the oversold zone.
Overall, PB Fintech has immediate support at Rs 580.5, which is its lower end of the Bollinger Band. This will be followed by a trendline support of Rs 558.
(With contributions by Nikita Vashisht)
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