Whirlpool Shares Crash 20%: Lower Circuit Hit

New Delhi, Jan 30 (PTI) Shares of Whirlpool of India Ltd tanked 20 per cent amid news that the American home appliances major Whirlpool Corporation plans to trim its stake in the Indian arm to approximately 20 per cent by mid to late 2025.

The stock plummeted 20 per cent to settle at Rs 1,262.15 apiece -- its lower circuit limit -- on the BSE.

On the NSE, shares of the firm slumped 20 per cent to Rs 1,260.80 each -- the lower circuit limit.

Whirlpool Corporation plans to trim its stake in its Indian arm, Whirlpool of India Ltd, to approximately 20 per cent by mid to late 2025, according to a regulatory filing by the company.

Earlier in February 2024, Whirlpool Corporation offloaded 24 per cent of its stake in Whirlpool of India Ltd in a block deal, raising approximately USD 468 million.

Whirlpool Corporation, which currently holds a 51 per cent ownership interest in Whirlpool of India, expects to remain the largest shareholder following completion of the anticipated sell-down, the company said in an earnings release shared on stock exchanges by the Indian arm.

"As part of its fourth quarter earnings release, Whirlpool Corporation announced its intention to sell down its ownership interest in Whirlpool of India Ltd (Whirlpool India) to approximately 20 per cent by mid to late 2025, by way of one or more market sales (anticipated sell-down)," Whirlpool Corporation Executive Vice President, Chief Financial and Administrative Officer, and President, Whirlpool Asia, James Peters said.

"Whirlpool India will remain a relevant part of Whirlpool Corporation's portfolio, and we continue to believe Whirlpool India has a strong long-term trajectory for growth," Peters said.

He further said, "We intend the anticipated sell-down to result in increased autonomy for Whirlpool India to adjust to ever-evolving industry conditions, enabling Whirlpool India to focus on accelerated growth and utilising its well-funded business to invest further in the business.