LIC-backed Penny Stock: Promoter Acquires Over 7.5 Lakh Shares - All Details

On Friday, December 27, 2024, Equilibrated Venture Cflow Private Limited, part of Paisalo Digital Limited's promoter group, acquired 7,50,213 shares of Re 1 face value through an open market transaction.

This was the second purchase by the promoter during December, following an earlier acquisition of 7,39,112 shares. The acquisitions reflect the promoter's growing investment in the company amid a dynamic NBFC landscape.

Stock Market Performance

Paisalo Digital shares saw a slight dip of 1.50 per cent on Monday morning, trading at ₹50.91 apiece on the NSE. The stock remains above its 50-day moving average but continues to trade below 5-day, 20-day, 100-day, and 200-day averages.

LIC and SBI Hold Key Stakes

According to shareholding data from the September 2024 quarter, the promoter group holds a majority stake at 52.38 per cent. Non-institutional investors account for 24.22 per cent, followed by insurance companies (11.26 per cent), FIIs (10.72 per cent), other DIIs (1.23 per cent), and mutual funds (0.20 per cent).

Notably, Life Insurance Corporation of India (LIC) and the State Bank of India (SBI) hold stakes of 1.4 per cent and 1.2 per cent, respectively. Additionally, SBI Life Insurance owns a 9.9 per cent share.

Growth Trajectory and Market Valuation

Paisalo Digital, a constituent of the BSE Smallcap Index, has demonstrated impressive growth over the years:

• One-year gain: 11 per cent
• Two-year gain: 32 per cent
• Three-year gain: 40 per cent
• Five-year surge: 131 per cent
• Ten-year growth: 320 per cent

As of December 30, the NBFC's market capitalisation stood at ₹4,569.25 crore, according to the BSE.

Strategic Vision and Confidence Boost

Analysts view the promoter’s recent stake increase as a strong indication of confidence in Paisalo Digital's growth strategy. With its evolving financial services portfolio and a sustained market presence, the NBFC continues to be a prominent player in India's financial sector.

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