11th Oct 2024 10:26
(Alliance News) - J Sainsbury PLC's largest shareholder has cut its stake in the London-based supermarket chain, Reuters reported Friday.
Citing a regulatory filing, Reuters said the Qatar Investment Authority will sell 109.4 million shares in Sainsbury's at 280 pence each. The sum represents roughly 5% of its stake in the company. It had around a 14% holding prior to the stake sale.
https://www.reuters.com/business/retail-consumer/sainsburys-biggest-investor-qia-cuts-holding-2024-10-11/
Sainsbury shares fell 4.3% to 275.60p each on Friday morning in London.
Dan Coatsworth, investment analyst at AJ Bell, said: "QIA selling down following a string of upbeat results and trading updates from Sainsbury's would suggest the investor sees the supermarket now entering a new phase of its life. That's often the point at which an investor also reassesses their commitment to a stock, so selling down shouldn't represent any concerns about the health of Sainsbury's. However, the fact the stock has fallen below QIA’s placing price does suggest that some investors have been spooked by the news, wondering why the biggest shareholder is reducing its position at this point in time."
By Tom Budszus, Alliance News slot editor
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