Shares of Star Health and Allied Insurance Company dropped by more than 1% on Friday due to a significant alteration in Rekha Jhunjhunwala’s direct holding during the June quarter. The company clarified that this change was a result of a succession-related transmission and an off-market transfer of shares to promoter entity Sitara Partners LLP, not a sale or exit by the promoter group.
Rekha Jhunjhunwala’s direct stake decreased after 7.82 crore equity shares were moved to Sitara Partners LLP, a promoter entity where she serves as a Designated Partner, following the transmission of shares inherited from the estate of late investor Rakesh Jhunjhunwala. The company emphasized that this transaction did not involve any open-market sale, third-party disposal, or reduction in the overall holding of the promoter group.
The company explained that the change in the shareholding of the Promoter and Promoter Group in the quarter ending June 30, 2026, was due to the transmission of equity shares held by Late Rakesh Jhunjhunwala. This movement represents an internal transfer within the Promoter and Promoter Group as part of the settlement of the late investor’s estate.
The transfer of 7.82 crore shares to Sitara Partners LLP on June 24, 2026, was approved by the Insurance Regulatory and Development Authority of India (IRDAI) for the transmission of shares previously owned by late Rakesh Jhunjhunwala under the probate of his estate. Following this transfer, the LLP held 13.29% of Star Health’s equity share capital.
