Edelweiss falls 5% on plans to offload stake in wealth business

Shares of Edelweiss Financial Services fell as much as 5 percent intraday on July 17 after reports of company’s plan to offload part stake in its wealth business.

According to a report in The Economic Times, the company is in advanced talks with US-based Kora Management to sell 20 percent stake in Edelweiss Wealth Management for a consideration of about Rs 2,000 crore.

“Edelweiss will raise Rs 2,000 crore by selling this stake and it will help in meeting debt obligations during this quarter,” a person familiar with the matter told the daily.

At 1145 hrs, Edelweiss Financial Services was quoting Rs 168.25, down 3.36 percent on the BSE.