📍 Overview of the Sale
Palash Securities Limited has announced the sale of 6,00,000 equity shares (1.92%) in its subsidiary Morton Foods Limited (MFL). This transaction, conducted through an off-market trade on March 28, 2025, is valued at ₹1.5 Crore (₹1,50,00,000/-).
The decision was approved in a board meeting that commenced at 10:00 AM and concluded at 10:48 AM.
📊 Financial Impact on Palash Securities
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Morton Foods Limited (MFL) reported a turnover of ₹35 Crore for the financial year ending March 31, 2024.
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MFL contributes 85.49% of the consolidated income of Palash Securities Limited.
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The net worth of MFL stands at ₹23.18 Crore, representing 4.80% of Palash Securities Limited’s consolidated net worth.
💰 Buyers & Transaction Details
The stake was acquired by:
✔ RTM Investment & Trading Co Ltd (Registered in Kolkata)
✔ Uttam Commercial Ltd (Registered in Kolkata)
🔹 Both belong to the existing promoter group of Palash Securities.
This is a related party transaction but executed at arm’s length pricing, ensuring compliance with regulatory standards.
📉 Impact on Share Market
📌 Short-Term Effects:
✅ Investor sentiment may fluctuate due to the divestment.
✅ Stock volatility might increase, affecting Palash Securities’ share price.
✅ Morton Foods’ valuation might see minor changes due to shareholding restructuring.
📌 Long-Term Effects:
✅ The sale may indicate strategic portfolio restructuring within Palash Securities.
✅ Could lead to a reshuffling of investments within the promoter group.
✅ Investors may see new investment opportunities arising from the proceeds of the sale.
🏢 About Palash Securities Limited
Palash Securities Limited is a part of the Birla Group, primarily involved in investment activities. Its registered office is located in Hargaon, Uttar Pradesh. The company is listed on:
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National Stock Exchange (NSE) – Symbol: PALASHSECU
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Bombay Stock Exchange (BSE) – Stock Code: 540648
🔹 Email: palashsecurities@birlasugar.org
🔹 Website: www.birla-sugar.com
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📉 Stock Market Disclaimer
Disclaimer: This post is for informational and educational purposes only and does not constitute financial advice or a recommendation to buy/sell any stock or share. Investing in the stock market involves risk. Past performance is not indicative of future results. Always conduct your own research or consult a licensed financial advisor before making investment decisions.
