brisk speed Promoters sell holdings valued at $10.5 billion in the first half of 2024.

According to data from Kotak Institutional Equities, the pace at which promoters are selling their companies accelerated in the first half of 2024, with deals totaling $10.5 billion made by the proprietors of 37 companies on the NSE500.Indian promoters sold $12.4 billion worth of stakes in 2023; if the current pace holds this year, the amount will significantly surpass the previous year's estimates.Stake sales by promoter entities of the Adani group increased the total amount last year.In 2024, sales will occur in a variety of industries, with the main drivers being debt repayment, business expansion, and compliance with minimum public shareholding requirements. It has been a tactical sale by non-promoter private equity groups.In Kotak's analysis, the promoters of Mankind Pharma, Vedanta, Cipla, and Mahindra & Mahindra sold their stakes for debt reduction, personal reasons, and changes to family holdings, respectively.

In the case of Bharti Airtel and Indus Towers, the sells were made for financial realignment of the promoters' interests.The promoter shareholding of firms has decreased as a result of the stake sales; according to Kotak's study, promoter holdings in the companies in the BSE-200 index dropped from 42.1% at the end of December 2022 to 38.8% at the end of March.Indian shares have been heavily purchased by domestic investors, whose holding increased by 80 basis points to 23.5% over the same time period. Foreign portfolio investors' holdings have decreased throughout that period, from 21.4% to 20.5%. According to data from the stock exchanges, domestic mutual funds have purchased bulk and block deals, acquiring the inventory that promoters or PEs have offloaded.