Shares of Five Star Business Finance Ltd fall nearly 4% on Thursday, December 8, 2023, after a large block deal is executed on the counter.

As per exchange data, approximately 2.3 crore shares or 8% equity stake in the company changed hands in block deals. The total value of the shares sold is estimated at Rs 1,704 crore, as they were offloaded at an average price of Rs 730 per share.

Sources indicate that private equity funds who held stakes in Five Star Business Finance were the likely sellers behind this major block transaction. The block deal was one of the largest by value recorded in recent months.

The share sale comes at a time when Five Star and other lending firms are facing scrutiny over their business practices after allegations against the Adani Group.