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Hot Pursuit - Detailed News

ITC drops after block deals
28-May-25   11:46 Hrs IST
While the buyers and sellers remain unnamed, media reports suggest that British American Tobacco (BAT) likely offloaded a 2.6% stake in the company worth around Rs 15,000 crore.

British American Tobacco (BAT) on Tuesday, 27 May 2025, announced its plans to sell around 2.3% of its stake in ITC via a block deal to institutional investors. The move aims to boost BAT's financial flexibility, helping it reduce debt and expand its share buyback program to '1.1 billion in 2025. Despite the sale, BAT will retain a significant 23.1% stake in ITC, maintaining a long-standing partnership that dates back over a century.

Trading volumes surged with BSE seeing 1.75 crore shares change hands, compared to the 3-month average of just 6.78 lakh shares. NSE volumes surged to 40.82 crore shares, sharply above the 3-month average of 1.53 crore.

As of March 2025, the London-listed tobacco giant held a 25.44% stake in ITC, through its affiliates -- Rothmans International Enterprises, Myddleton Investment Company and Tobacco Manufacturers (India).

ITC is a diversified conglomerate with businesses spanning fast-moving consumer goods, hotels, paperboards and packaging, agribusiness and information technology.

The company's standalone net profit surged 289.66% to Rs 19,561.57 crore while net sales rose 9.40% to Rs 17,020.32 crore in Q4 March 2025 over Q4 March 2024.

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