Redtape Shares Plunge 7% as Promoters Clarify Stake Sale Reports

• Redtape Ltd. shares dropped over 7% on Wednesday, January 14, following promoter clarification on stake monetization reports.
• The stock had surged 12% on Tuesday due to a Reuters report suggesting founders were exploring selling a majority or entire stake worth $510 million.
• Reuters cited documents indicating the Mirza Family appointed Ernst & Young as financial adviser for divestment.
• Promoters stated no disclosure-warranting event occurred but confirmed exploring strategic opportunities for growth and value creation.
• Promoters held a 71.8% stake at the end of the September quarter; the stock has seen negative returns for three consecutive months.

Why It Matters: Redtape shares fell sharply after promoters addressed, but did not deny, reports of potential stake sale.