Sai Life Sciences shares drop 4% as TPG Asia likely offloads Rs 2,811 cr worth shares via block deal

Shares of Sai Life Sciences dropped 4% to their day’s low of Rs 870.45 on the BSE on Tuesday following a large trade where 3.2 crore shares of the company changed hands worth Rs 2,811 crore.

Private equity firm TPG Asia has likely offloaded a 15.4% equity stake in the company through this block deal, where the shares were traded at Rs 874 apiece. However, the exact details of the transaction are not currently known.

According to previous reports, TPG Asia intended to offload its entire stake in the company, with an estimated transaction value of around Rs 2,500 crore, involving the sale of approximately 3.07 crore shares, representing nearly 14.72% of Sai Life’s equity capital.

According to a CNBC-TV18 report, the block deal was expected to be executed at a floor price of Rs 860 per share, representing a discount of around 5% to the company’s last traded price.

The deal is likely to be a clean-up trade, marking a full exit for the investor, which has held a stake in the Hyderabad-based firm for several years.

Sai Life Sciences, a contract research, development, and manufacturing organisation (CRDMO), has delivered strong operational performance over the past year, driven by robust earnings growth and improved margins.

The company operates in the pharmaceutical outsourcing space and has been gaining momentum as global clients expand their R&D and manufacturing mandates in India.

Sai Life Sciences share price history

Over the past month, Sai Life shares have gained 8.19%, while the three-month return stands at 26.23%. In the past six months, it has risen by 27.52%, and the year-to-date (YTD) gain is 19.64%.

On Monday, the shares closed 2% lower at Rs 906.60 on the BSE.

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