Poonawalla Fincorp share price dips as decision to sell housing subsidiary fails to cheer Street
Poonawalla Fincorp share price: Year To Date (YTD), the stock has zoomed 35 per cent and in the past six months it has surged more than 25 per cent.
Poonawalla Fincorp share price: Shares of Non-Banking Financial Company, Poonawalla Fincorp dipped around 3 per cent as investors’ sentiment turned negative after the NBFC announced to sell its housing subsidiary to private equity company TPG Group.
The stock opened flat at Rs 305 apiece on NSE, up 1 per cent from previous close of Rs 302.05. However, it surrendered to gains immediately due selling pressure to trade in red. The stock quoted Rs 292.60 at 1:30 PM, down by more than 3 per cent. On BSE, the stock traded at Rs 294 per share.
Year To Date (YTD), the stock has zoomed 35 per cent and in the past six months it has surged more than 25 per cent.
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Zee Business panellist Vikas Sethi recommended buying shares of Poonawalla Fincorp for long term. For short term traders, Sethi gave price target of Rs 320 apiece and stop loss at Rs 295.
NBFC, Poonawalla Fincorp on Wednesday through a regulatory filing informed that the board meeting approved sale of its housing subsidiary Poonawalla Housing Finance Limited to TPG (Perseus SG Pte. Ltd., an entity affiliated with TPG Global, LLC) at a valuation of Rs 3,900 crores.
The filing further read that the transaction will maximise the shareholders’ value in the long term as Poonawalla Fincorp focuses on building a Tech-Led and Digital-First financial services company.
Stating the way forward, Poonawalla Fincorp said that it sees tremendous growth opportunities in its current and proposed line of businesses.
The company further said that it aspires to achieve AUM growth of 35-40 per cent year-on-year over the next 3 years and will work towards achieving consistent Return on Asset in the range of 4 per cent to 4.5 per cent.
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