State-run insurer Life Insurance Corporation of India (LIC) has executed a tiny block deal in Modella Woollens, selling 4,809 shares for ₹2.74 lakh, marking a marginal reduction in its 16.75% stake in the micro-cap company.
🔴 Key Highlights:
- LIC sold 4,809 shares at ₹57 per share, trimming its existing 16.75% equity ownership in Modella Woollens.
- Modella Woollens has a market capitalization of ₹5 crore, primarily engaged in trading synthetic fabrics.
- The stock closed at ₹57, gaining 3.17% over the previous day’s closing price of ₹55.25.
- The company reported Q4FY25 standalone losses of ₹4.87 lakh, slightly improving from ₹6.1 lakh in Q3FY25.
- Modella Woollens’ share price has declined 5% in 2025, with a 13% drop over the past year, underperforming the broader market.
📢 Market Experts’ Take:
“LIC’s small stake sale reflects cautious investor sentiment in micro-cap stocks. Modella Woollens has struggled with weak financials and declining stock performance.”
⚠️ Strategic Impact:
- LIC’s move signals portfolio adjustments, possibly reducing exposure to underperforming micro-cap stocks.
- Modella Woollens’ financial struggles raise concerns over long-term viability and investor confidence.
👉 What do you think? Will Modella Woollens recover, or is LIC’s exit a warning sign? Drop your thoughts in the comments!
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