Shares of Avenue Supermarts, the operator of DMart, fell more than 3% on Wednesday after 69.1 lakh shares, representing 1.06% of the company's equity, changed hands in a block deal valued at an estimated ₹2,600-2,700 crore.

Block deals are large-volume, pre-negotiated transactions executed in a single trading window on the stock exchange. They are often used by institutional investors such as promoters, funds, or other large shareholders to buy or sell substantial stakes without disrupting regular market trading. Such deals are frequently executed at a discount to the prevailing market price, which can weigh on the stock in intraday trade, and the disclosure of counterparty details in exchange filings is typically what clarifies whether a promoter or an institutional holder was behind the transaction.

Avenue Supermarts operates the DMart chain of hypermarkets and supermarkets across India. The company, promoted by veteran investor Radhakishan Damani, is known in the Indian retail sector for its everyday-low-price model and a strategy of owning rather than leasing many of its store properties, an approach credited with keeping operating costs low relative to peers. The identities of the buyers and sellers in Wednesday's transaction were not immediately disclosed, leaving market participants awaiting exchange disclosures for clarity on the counterparties.

Source: CNBC-TV18