Billionbrains Garage Ventures Ltd, the parent company of the investment platform Groww, saw its shares tumble over 4% in Tuesday's trade following two significant block deals. Approximately 7.78 crore Groww shares, representing about 1.2% of the company's total outstanding equity, changed hands in transactions valued at nearly Rs 1,500 crore.
The stock experienced a 4.02% decline, hitting a low of Rs 190.70 apiece. This performance positioned Groww as the worst-performer on the Nifty Midcap 100 index for the day. Furthermore, it emerged as the most-traded stock by volume on the BSE 500, with trading volume surging 2.6 times its three-month full-day average, according to Bloomberg data.
Details of the Block Deals
The substantial trading activity involved two primary block transactions:
- Around 7.52 crore Groww shares were traded at Rs 193.45 apiece, amounting to Rs 1,450 crore.
- An additional 26.10 lakh Groww shares changed hands at Rs 193.10 apiece, valued at Rs 50.32 crore.
The identities of the buyers and sellers involved in these large-scale deals were not immediately disclosed.
Broader Market Context and Groww's Client Growth
Despite the recent share price drop, Groww has shown strong growth in its client base. According to NSE active clients data for July, while the broader Indian broking industry experienced muted growth, adding only about 8,000 net active clients, Groww notably onboarded 70,119 new clients during the month.
This surge increased Groww’s active client base to 1.31 crore, elevating its market share to 28.88% from 28.72% in June. In contrast, competitors like Zerodha saw their active client base decline by 38,725 to 67.6 lakh, and Angel One remained largely flat with 286 net new additions, settling at 66.30 lakh clients. Their respective market shares stood at 14.88% and 14.60%.