ITC Block Deal: BAT to Offload Over 2% Stake in FMCG Giant ITC

On May 28, 2025, ITC share price slipped over 3%, reaching a day low of ₹415.10 at 09:30 AM, after opening at ₹418.00 on BSE. The fall in ITC share price came after the news circulating around the stake sale by British American Tobacco (BAT). As per news reports, British American Tobacco (BAT), one of the world’s largest tobacco companies, has launched a block deal worth ₹11,613 crore to offload up to 2.3% of its stake in ITC Ltd.

ITC Block Deal Details

The block deal has been priced at ₹400 per share, representing a discount of neraly 8% to ITC’s closing price on Tuesday. Citigroup and Goldman Sachs are acting as joint brokers for the transaction.

Previous Stake Sale by BAT

This move follows BAT’s previous divestment in March 2024, when it sold a 3.5% stake in ITC for about $2 billion, marking India’s third-largest block deal at the time. That transaction involved 43.6 crore shares sold at a price range of ₹384 to ₹400.25 per share, with Citi and Bank of America as brokers. The strong demand for ITC shares in that deal, with the final price settling at the higher end of ₹400.4, underscored robust investor appetite.

Also Read: ITC Shares to Trade Ex-Date on May 28: Final Dividend of ₹7.85

About ITC Limited

ITC, a diversified conglomerate with interests in cigarettes, hotels, and fast-moving consumer goods, reported a multifold increase in net profit to ₹19,727 crore for the fourth quarter, driven by exceptional gains from discontinued operations. 

About British American Tobacco (BAT)

BAT, a London-listed tobacco giant with brands like Dunhill, Lucky Strike, and Rothmans, sold 654 billion cigarettes in 2023. The company has been navigating challenges, including tax headwinds in Bangladesh and Australia, which contributed to a modest 1% revenue growth forecast for 2024.

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