Allied Blenders and Distillers shares gained 6% after co-promoter Bina Kishore Chhabria sold a 1.97% stake to meet SEBI's public shareholding norms. The block deal attracted institutional investors, including SBI Mutual Fund and the Abu Dhabi Investment Authority. This regulatory move helps the company work toward the required 75% promoter holding limit.
Allied Blenders and Distillers saw its share price rise by 6% on Thursday, September 24, 2026, following a large block deal. Co-promoter Bina Kishore Chhabria sold 5.5 million shares, representing a 1.97% stake in the company. The transaction took place at a price of ₹650.17 per share, while the stock touched an intraday high of ₹704.40 during the session.
The promoter sale was initiated to comply with SEBI regulations, which require promoters of listed companies to cap their total ownership at 75%. Before this transaction, the promoter group held an 80.91% stake in the company. To meet the regulatory deadline of October 31, 2026, the promoters must reduce their holding to the mandated 75% level.
Institutional investors showed strong interest in the block deal, which is often viewed by the market as a positive sign. The Abu Dhabi Investment Authority acquired a 0.54% stake, and SBI Mutual Fund increased its holding by 1.22%. By absorbing the shares sold by the promoter, these institutional players indicated confidence in the company's growth outlook despite the increase in market supply.
The stock has performed well since its listing in July 2024, gaining over 30% in the last year compared to a decline in the broader Nifty 500 index. However, with a trailing price-to-earnings (P/E) ratio of 87.55, the company trades at a relatively high valuation. Investors often monitor companies with such high valuations closely, as earnings must grow to justify the price levels over time.
As the company moves toward full compliance with public shareholding norms, market participants may track if further stake sales are planned before the October 31 deadline. The key for shareholders will be to see if the company can maintain its current business momentum while adjusting its shareholding structure to meet regulatory requirements.