Citigroup sells upsized finance block

SINGAPORE: Citigroup has sold a block of 43.1m shares in L&T Finance Holdings for Rs7.8bn (US$120m) after pricing the upsized trade at the bottom of the Rs180.50–Rs188.05 range, a person with knowledge of the transaction said.

Citigroup Global Markets Mauritius had originally planned to sell 39.2m shares, equal to a 2.15% stake, according to a term sheet.

Around 20 investors participated in the transaction. The final price was at a 4.01% discount to the pre-deal close of Rs188.05. L&T Finance shares were down 4.4% at Rs179.75 on the National Stock Exchange today, having gained 106% since the start of the year.

The sale was conducted to unwind partially CGMM’s hedge position in connection with a total return swap between CGMML and Bain Capital. Citigroup was the sole