Sky Gold Share Price In Focus As Promoters Sold 70 Lakhs Shares Via Block Deal

Promoters of Sky Gold and Diamonds Ltd. executed large block deals on June 18, reducing their overall holding in the company. The transaction, involving 70 lakh shares, has brought the company’s share price and regulatory classification into sharp focus. Sky Gold is currently placed under Stage 3 of the Additional Surveillance Measures (ASM) framework, leading to tighter trading norms. Here is a breakdown of the transaction and related developments.

Promoters offload 70 Lakh Shares in Sky Gold

On Wednesday, June 18, promoter entities of Sky Gold sold more than 70 lakh shares in a series of block deals. The entities involved in the transaction included Mangesh R Chauhan HUF, Darshan R Chauhan HUF, and Mahendra C Chauhan HUF. The sale represented a 4.77% reduction in promoter holding and was executed at an average price of ₹348.6 per share, amounting to a total deal value of approximately ₹244 crore.

Breakdown of promoter shareholding

As of the March quarter, Mangesh R Chauhan HUF, Darshan R Chauhan HUF, and Mahendra C Chauhan HUF each held a 2.19% stake. Individually, Mangesh and Darshan Chauhan held over 17% each, while Mahendra C Chauhan owned 15.73%. The promoter group together held a 58.18% stake in the company before this transaction. Post-sale, their combined stake has reduced but they continue to remain key shareholders.

Bank of India Mutual Fund joins as a Buyer

Bank of India Mutual Fund acquired 7.8 lakh shares at an average price of ₹346 per share in the same block deal. Prior to this purchase, the fund either did not hold any stake or held less than 1% in Sky Gold. Among mutual fund holdings, Motilal Oswal Small Cap Fund holds the largest portion at 4.33%, contributing to the overall mutual fund ownership of 5.3% in the company.

Other major investors in the company

In addition to mutual funds, Kotak Mahindra Life Insurance Company holds a 1.79% stake in Sky Gold. Moreover, nearly 80,000 retail shareholders, defined by an authorised capital of up to ₹2 lakh, collectively hold 12.72% of the company's equity. This broad base of retail investors underscores the need for regulatory vigilance.

Sky Gold placed under Stage 3 ASM framework

Sky Gold shares are currently under Stage 3 of the ASM framework, a classification that brings stricter trading conditions. This includes a 100% upfront margin requirement and a 5% circuit limit, restricting the daily price movement. The Stage 3 classification is designed to monitor and control excessive volatility in stock trading.

Sky Gold Share Price Performance 

Following the block deal, Sky Gold’s share price fell to ₹344.25 on Wednesday, June 18, hitting the lower circuit of 5%. This marked the third consecutive day of decline. The share price has now corrected by around 30% from its recent 52-week high of ₹488.5. 

Read More: Best Gold Stocks in India for June 2025! 

Conclusion 

Block deals by promoters and ASM status have brought Sky Gold under a sharper market lens. The coming sessions may reveal how these factors play out.

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