ICICI Prudential Life Insurance Increases Its Stake In Honasa To 5.48%

ICICI Prudential Life Insurance Company Ltd’s stake in Mamaearth’s parent entity, Honasa Consumer, has increased to 5.48% following acquisition of an additional 46.91 Lakh shares. 

In an exchange filing, ICICI Prudential said that following the acquisition, it held 1.77 Cr shares of Honasa as of September 12 as against 1.31 Cr shares, or a 4.03% stake, previously. 

It is pertinent to note that ICICI Prudential held 3.81% stake in Honasa at the end of June quarter of 2024.

The company’s disclosure came a day after Peak XV Partners, Sequoia Capital Global, Fireside Ventures, Stellaris Venture Partners and Sofina sold Honasa shares worth INR 1,601.68 Cr via bulk deals. 

Some of these shares were acquired by Morgan Stanley and ICICI Prudential. While Morgan Stanley bought 24.17 Lakh shares for INR 119.67 Cr, ICICI Prudential acquired 28.78 Lakh shares for INR 142.49 Cr. 

Meanwhile, in a separate filing, Stellaris Venture Partners said that its stake in Honasa has reduced to 2.89% following the bulk deal from 5.78% earlier.

The developments come at a time when shares of Honasa have been on an upward trend on the back of its strong financial performance. Earlier this week, the shares of Mamaearth parent touched a fresh all-time high of INR 546.5 apiece during the intraday trading on the BSE on Tuesday (September 10).

Honasa posted a 62.9% jump in its profit after tax to INR 40.2 Cr in the June quarter (Q1) of the financial year 2024-25 (FY25) from INR 24.7 Cr in the same quarter of the previous year. Operating revenue grew 19.3% on a year-on-year (YoY) basis and 17.3% sequentially to INR 554 Cr in the reported quarter.

Brokerages have been bullish on Honasa’s house of brands strategy. In July, Emkay gave the company a price target of INR 525 by June 2025. 

Shares of the company ended today’s trading session almost flat at INR 493.45 on the BSE.