Rakesh Jhunjhunwala’s Q3 trades: Veteran investor Rakesh Jhunjhunwala has increased stake in some companies in the third quarter of the current financial year 2020-21 and booked profit from some stake. During this period, the Sensex rose by 28 per cent and the Nifty 50 rose by 29 per cent and Jhunjhunwala not only booked profits but also increased stake in companies and added new stocks to the portfolio. Jhunjhunwala has increased his stake in pharma company Jubilant Life Sciences and has booked profits in IT company Firstsource Solutions. Both stocks are trading at around 200 per cent above the March 2020 low.
Increased stake in Jubilant Life Lines
Rakesh Jhunjhunwala had 91.45 lakh equity shares of Jubilant Life Sciences at the end of the July-September 2020 quarter. At the end of October-December quarter 2020, Jhunjhunwala increased his stake in the company by 0.05 per cent and by the end of December 2020, he had 92.70 lakh equity shares. Currently, its shares are being traded at a price of Rs 927. Jubilant Life Sciences was recently approved by NCLT for demerging the pharma company and LSI business. Jubilant is currently preparing vaccines for three companies and has the capacity to produce 5 lakh vials every day.
Booked profit at Firstsource Solutions
Apart from increasing stake in Jubilant Life Sciences, Jhunjhunwala booked profits in some stocks. Jhunjhunwala reduced its stake in Firstsource Solutions by 1.59 per cent in the last quarter of October-December 2020. By the end of September 2020, he had 2 crore equity shares of this company with Jhunjhunwala and by the end of December 2020, he had 90 million equity shares.
Tata Communications added to the portfolio
In addition to increasing stake in Jubilant Life Sciences and booking profits from Firstsource Solutions, Jhunjhunwala has added stock of Tata Group to its portfolio in the last quarter October-December 2020, besides Titan Company and Tata Motors. Rakesh Jhunjhunwala and his wife together have added Tata Communications to their portfolio. Both the husband and wife have bought 32 lakh shares of this company. The stock has gained 22 percent since October. Tata Communications’ EBITDA grew 11 per cent sequentially in the previous quarter.