Promoter Italian Thai Development Considers Divesting ITD Cementation Stake

Italian Thai Development is considering selling its stake in ITD Cementation after seeing a 252% rally in the stock over the past year.ITD Cementation informed the stock exchange on July 3, 2024, that his promotor company, Italian-Thai Development Public Company Ltd., wanted to sell his stake in the company. The promotion company, Italian-Thai Development, has not clarified how much they want to dilute the company. In the filling, there is no clear update from the ITD Cementation on how many percentages of the shares their promoters want to sell.  After seeing the big rally in one year, which is a record high of 252%, promotors want to dilute some percentage, but this talk is in the preliminary stage, so the picture is still not clear. Shares of ITD Cementation ended 1% lower on Wednesday at Rs.573, close to its record high of Rs.579.95.

ITD Cementation 252% rally and new projects:

In February 2024, the manager of the ITD Cementation mentioned that they are expecting to get rupees 8,000 to 10,000 crore in projects they are going to get in the financial year 2025. The stock was in the news almost last week and was on the radar of investors and traders once they got the marine contract of Rs 1082 crore for the Dahej LNG Terminal.

Italian-Thai development exit:

Promoter company Italian Thai Development is eyeing the growth of the stock and also checking the Indian stock market record growth.The promoter has already witnessed a 252% surge in the stock over the past year, and this year it has gained 97%, almost doubling in value. Right now, the Italian-Thai Development Public Company Ltd. holds a 46.64% stake in the ITD Cementation. The current valuation of the share was Rs 4569.89 crore as of yesterday. This year, in the past 6 months, we have seen 87,400 crores of shares sold out by the promotors, which is a record high for the past 5 years because of the different reasons from the promotors and the record high movement in the Indian stock market.

Conclusion: Due to strong fundamentals and upcoming projects with ITD Cementation, we can’t see a big fall in the stock and bull rally, but we can see a continuous pullback with a slight pullback after selling by the promotor.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.