Promoter Baring PE offloads 9.8% stake in Coforge for Rs 2,430 crore

Asia’s leading private equity firm and the promoter of Coforge, Baring Private Equity, sold a significant 9.8% stake in the software company through the open market on Monday for Rs 2,430 crore.

The private equity firm, through its affiliate Hulst B V, held about a 40% stake in Coforge as of December end.

Hulst B V sold 60,00,000 shares of Coforge at Rs 4,050 apiece through a bulk deal on the National Stock Exchange. This is a sharp discount of 6.5% from Friday’s closing price. On Monday, the stock ended nearly 7% down at Rs 4,032.25 on the NSE.


Through separate deals, foreign and domestic institutional investors bought a stake in Coforge on Monday.
Kuwait Investment Authority bought 3,90,000 shares of Coforge at Rs 4,049 apiece.

Nomura India Investment Fund Mother Fund increased its stake in Coforge by buying 6,10,083 shares at Rs 4,050 apiece.

Similarly, Aditya Birla Sun Life MF raised its stake in Coforge by purchasing 3,46,076 shares at Rs 4,050 apiece. The mutual fund held a 1.92% stake in the software company as of December end.

Mutual Funds cumulatively held about 20% stake in Coforge as of December end. Besides Aditya Birla MF, UTI MF, DSP MF, HDFC MF, and Axis MF also hold a stake in the mid-tied IT company.

India’s largest life insurer Life Insurance Corporation of India (LIC), owns a 4.79% stake in Coforge.

The private equity firm has been offloading stakes in tranches in the company over the last 2-3 years.

Baring Private Equity had taken over Coforge, earlier known as NIIT Technologies Ltd, in 2019. Then, it held a 70% stake in the company.

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