Tue Jan 21 14:53:12 IST 2025: ## Kalyan Jewellers Stock Plunges After Promoters Pledge Significant Shares

**MUMBAI, January 22, 2025** – Shares of Kalyan Jewellers India Limited plummeted 5.40 percent to ₹502.25 on the National Stock Exchange (NSE) Tuesday morning, following the disclosure of substantial share pledges by company promoters. The decline comes as promoters Ramesh and Seetharam Trikkur Kalyanaraman, each holding an 18.04 percent stake, pledged a combined 15.65 percent of the company’s share capital to various financial institutions.

The pledges, revealed in a January 20th regulatory filing, include loans secured from entities such as Catalyst Trusteeship Limited, Bajaj Finance Limited, Aditya Birla Finance Limited, Tata Capital Limited, Infina Finance Private Limited, STCI Finance Limited, and HSBC Invest Direct Financial Services (India) Limited.

The stock, currently under the Futures and Options (F&O) ban, prohibiting the creation of new positions, experienced increased volatility. Kranthi Bathini, Director of Equity Strategy at WealthMills Securities, attributed the drop to the stock’s recent surge from ₹400 to ₹800 in the past year, suggesting it is now fully priced. He also highlighted the potential negative impact of the promoter pledges, stating that margin pressure could force further share sales, impacting the stock price.

While Bathini acknowledged the company’s strong fundamentals and impressive three-year growth, he cautioned investors to exercise caution due to the current market pressures. The largest promoter shareholder, Trikkur Sitarama Iyer Kalyanaraman, who holds a 22.29 percent stake, has not reported any pledges. Kalyan Jewellers is expected to announce its December quarter results on January 30th. The market will be closely watching to see how these developments impact the company’s performance and future outlook.

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