The official buyers and sellers are not yet known.
Prior to the block deal, sources told CNBC-TV18 that General Atlantic Singapore Fund Pte would be the likely seller. The floor price had been set at ₹919.56 per equity share, a discount of 3% from its previous closing price. The value of the transaction was set to be ₹1,200 crore, which was later upsized on Thursday morning.
At the end of the June quarter promoter entities held 23% stake in Kfin Technologies and public shareholding comprised 77%. Promoter General Atlantic Singapore Fund Pte held 21.89% stake in the Kfin Tech, as per data available on the stock exchanges.
Last month, Kfin Tech’s whole-time director and group CFO Vivek Mathur told CNBC-TV18 that the company expects to maintain a 40% EBITDA margin by the end of the ongoing fiscal, despite integrating Ascent Fund Services. He said the acquired business is likely to turn profitable ahead of schedule as the firm continues its cost optimization efforts and integration.
Kfin Tech’s first quarter profit after tax fell 7.3% to ₹75.2 crore from the previous year. Its earnings before interest tax depreciation and amortization (EBITDA) declined 5% to ₹122 crore, while EBITDA margin contracted to 34.22% from 37% sequentially. Excluding the Ascent acquisition, its EBITDA margin would have been 240 basis points higher at 39.4%.
Shares of Kfin Tech ended the previous session 1.3% lower at ₹944.95 apiece. The stock has gained 7.2% in the past month but is down 12.2% this year, so far.Also Read: LIC gets RBI nod to raise HDFC Bank holding to 10% from 4%
