Policybazaar share slips 10% as CEO plans to sell 3.77 million shares

PB Fintech shares fell 10% on Tuesday to Rs 595 on the BSE after Yashish Dahiya, the company’s chairman and CEO, disclosed his intention to sell up to 3.77 million equity shares on the open market. PB Fintech operates online insurance broker Policybazaar and lending marketplace Paisabazaar. 

Also Read| Sensex falls over 550 points while Nifty around 16,400 in early trade

“The Company has received an intimation from Mr Yashish Dahiya, Chairman and CEO of the Company, for an intention to sell up to 3,769,471 equity shares via bulk deals on the stock exchanges,” PB Fintech said in an exchange filing.

Also Read| Fuel price June 7, 2022: Petrol Rs 96.72, diesel Rs 89.62 in Delhi

Dahiya’s aggregate ownership was 19 million shares (4.23%) as of March 31, 2022, and with the execution of 5.5 million ESOPs in May 2022, his aggregate shareholding climbed to 24.52 million shares (5.45%). Because ESOPs are subject to tax on exercise in addition to capital gains tax on the selling of shares, the revenues from the sale of the 3.77 million shares are expected to be used to pay current and future taxes, according to the company.

Also Read| US Stock Market: DJIA, S&P500, Nasdaq and Russell ended in green on Monday

Previously, on February 11, 2022, co-founder Alok Bansal sold 2.85 million shares in PB Fintech in an open market transaction for Rs 236 crore. Bansal sold shares at an average price of Rs 825 per share, according to NSE bulk deal data.

Also Read| Stocks that should be on your watchlist on Tuesday, June 7, 2022

In November 2021, PB Fintech launched its Rs 5,710 crore initial public offering (IPO). The co-founders and other shareholders of the firm had decreased their shareholding in the public offering.

Also Read| Trending Stocks: SBI, Adani Entp, Tata Motors and others in news today

The stock was trading 7.95% down at Rs 606.00  against a 1.01% drop in the S&P BSE Sensex. On May 12, 2022, it reached a record low of Rs 542.30.