TFCI, Cupid Shares Plunge 20% on Shareholder Link Amidst Fund Deals

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AuthorRiya Kapoor|Published at:
TFCI, Cupid Shares Plunge 20% on Shareholder Link Amidst Fund Deals
Overview

Shares of Tourism Finance Corporation of India (TFCI) and Cupid Ltd. tumbled 20% on Friday, January 3, sparking focus for Monday, January 5. A common significant shareholder, Aditya Halwasiya, links both companies. While TFCI announced co-sponsorship and anchor investments in two AIFs, Cupid denied knowledge of material events, citing false rumors.

Stocks Face Scrutiny After Friday's Sell-off

Shares of Tourism Finance Corporation of India Ltd. (TFCI) and Cupid Ltd. are under the spotlight today, January 5, following a sharp 20% decline in their stock prices last Friday. Both companies ended the trading session with their respective lower circuits, prompting investor attention.

A notable common thread between the two entities is the significant shareholding of Aditya Halwasiya. While classified as a promoter in Cupid, Halwasiya also holds a substantial 18% stake in Tourism Finance, as of the September 30 quarter.

TFCI Expands Investment Footprint

Further contributing to the market's interest, Ekta Halwasiya was reported to have acquired 3.7 lakh shares of Tourism Finance on Friday, following block deals in the stock. In a separate disclosure, TFCI announced its intention to act as a co-sponsor and anchor investor for the Holystone Hospitality Fund, an equity-focused Category II Alternative Investment Fund (AIF). An application for the fund's registration has been submitted to the Securities and Exchange Board of India (SEBI).

TFCI also revealed its role as an anchor investor for the Certus Real Estate Fund, another Category II AIF, committing up to 10% of the total fund size. SEBI registration for this fund is also underway.

Cupid Responds to Volatility

In stark contrast, Cupid Ltd. issued an exchange filing over the weekend stating its unawareness of any material event or development that could justify the recent stock price volatility. The company affirmed that its operations are proceeding normally and its strategic execution remains the primary focus.

Cupid also addressed what it termed "false and unverified rumours" circulating with the apparent intent to sow panic and damage the company's and its promoters' reputation. The company is reviewing these claims and reserves the right to take appropriate action. Promoters reiterated their commitment to long-term value creation and safeguarding stakeholder interests.

Both TFCI and Cupid shares had concluded Friday's trading session locked at their 20% lower circuit limits, setting the stage for heightened scrutiny on Monday.

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