Goldman Sachs doubles down on Aye Finance despite muted debut; BofA picks up stake in EIL in Rs 100 crore bulk deal

Synopsis

Goldman Sachs bought shares worth Rs 22 crore in Aye Finance after its muted listing, while BofA Securities acquired a Rs 100 crore stake in Engineers India Ltd, boosting the latter’s stock sharply.

Goldman Sachs purchased over 16.8 lakh shares of Aye Finance on Monday through a bulk deal valued at Rs 22 crore. Earlier, during the February 6 anchor allotment, it acquired 53.48 lakh shares in the NBFC for Rs 69 crore. In a separate transaction, BofA Securities bought nearly 46 lakh shares of PSU major Engineers India Ltd (EIL) for around Rs 100 crore.

Aye Finance bulk deal

Aye Finance today made a lackluster market debut, with flat listing against the issue price of Rs 129 per share. The stock today ended at Rs 128.80, sliding 0.16% from the issue price.

Incorporated in 1993, Aye Finance is a non-banking financial company (NBFC) that provides secured and unsecured small business loans to micro-scale MSMEs, primarily for working capital needs. The company currently serves over 5.86 lakh active customers across 18 states and three Union Territories.

The issue was launched on February 9 and it ended on February 11. The issue failed to generate enthusiasm among investors, getting subscribed 97%. The IPO received 4,42,21,288 share bids against 4,55,32,785 shares offered. The retail quota was booked 77% while non-institutional investors subscribed just 5% of their allotted shares. The response from Qualified Institutional Buyers(QIBs) was encouraging with 1.50 times subscription.

Also read: Morgan Stanley, Goldman Sachs pick multibagger Ather Energy via block deals; NIIF sells Rs 233 cr stake

EIL bulk deal

EIL shares today ended the session at Rs 230.51, gaining Rs 28.84 or 14.30% from the last closing price.

The stock has been a market outperformer with 41% returns over a 1-year period. In the past three year, its prices have jumped nearly 200%.

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