Clean Science & Technology , a specialty chemicals manufacturer, saw its shares tumble to a 52-week low following a significant equity sale by promoters through block deals. The stock market reacted strongly to this development, with the company's shares experiencing a sharp decline.

Block Deal Details

The block deal, which was initially planned for 25.5 million shares, saw an overwhelming response with approximately 60 million shares changing hands. This volume far exceeded the original expectations, indicating strong investor interest in the transaction.

Pricing and Market Impact

The floor price for the block deal was set at Rs 1,030.00 per share, representing a substantial 13% discount to the previous day's closing price. This attractive pricing likely contributed to the higher-than-expected trading volume.

As a result of this large-scale sale, Clean Science & Technology's stock price took a significant hit:

• Intraday decline: 9.30%
• Lowest price reached: Rs 1,070.50 on the National Stock Exchange (NSE)

Unprecedented Trading Activity

The block deal triggered an extraordinary surge in trading activity for Clean Science & Technology shares:

• Trading volume: 6,343 times the 30-day average
• Total traded value on BSE: Rs 6,953.00 crore

These figures underscore the magnitude of the transaction and its impact on the market.

Promoter Stake and Stock Performance

Following the block deal, the promoter stake in Clean Science & Technology stands at 74.97%. This sale comes amidst a challenging period for the company's stock:

• 12-month decline: 19.00%
• Year-to-date decline: 26.00%

Analyst Outlook

Despite the recent stock performance, analyst sentiment on Clean Science & Technology remains mixed:

• Out of 14 analysts covering the stock:
  • 8 have 'buy' ratings
  • 2 recommend 'hold'
  • 4 suggest 'sell'

The average 12-month price target set by analysts indicates a potential 35% upside from current levels.

This block deal and the subsequent market reaction highlight the significant impact that large insider transactions can have on a company's stock price. Investors will likely be watching Clean Science & Technology closely in the coming days to gauge any further market movements or company announcements related to this substantial equity sale.

Clean Science & Technology Ltd., a prominent player in the Indian chemical industry, recently addressed confusion surrounding reported significant block trading activity.

Clarification on Trading Volume

A Clean Science Tech executive has stated that a punching error by Spark Avendus resulted in extraordinary trading volume. The company clarified that the block deal involved only 24% equity, contrary to earlier reports of larger transactions.

Initial Reports

Previous reports had suggested substantial block trades on both major exchanges:

The combined block trades were initially reported to be worth over Rs 2,531.11 crores.

Corrected Information

With the company's clarification, it is now understood that these figures were the result of a punching error and do not accurately reflect the actual trading activity. The block deal involved a significantly smaller portion of equity than initially reported.

About Clean Science and Technology

Clean Science and Technology Ltd. is known for its focus on developing eco-friendly technologies and processes in the chemical industry. The company specializes in manufacturing functionally critical specialty chemicals and has gained recognition for its innovative approaches to sustainable chemical production.

Investor Considerations

This incident highlights the importance of verifying information and waiting for official clarifications before drawing conclusions about market activities. Investors and analysts are advised to rely on official company statements and verified data when assessing stock movements and making investment decisions.

As always, thorough research and professional advice are recommended before making any investment choices. The company's prompt clarification demonstrates its commitment to transparency in communications with the market and its shareholders.