Avalon Technologies shares fell more than 5% on Wednesday, September 30, as investors reacted to reports that the company’s promoters were selling a stake through a block transaction. NSE data showed the stock dropping 5.2% to an intraday low of ₹2,180 per share, compared with ₹2,302 at the previous equity market close. The decline was driven by concerns that Bhaskar Srinivasan and his promoter group, comprising BBS Family Trust and KBS Family Trust, had sold a portion of their holdings during the morning window.

A report from CNBC‑TV18, citing sources aware of the development, indicated that Bhaskar Srinivasan, BBS Family Trust and KBS Family Trust were likely to sell up to a 6% stake or up to 40.5 lakh equity shares via a block deal valued at approximately ₹861.9 crore. The shares were exchanged at an average price of ₹2,181 each, although the official buyer and seller had not yet been verified as of the trading session on Wednesday.

In response to the media reports, Avalon Technologies issued an official clarification on September 30. The company stated that the reference to ‘KBS Family Trust’ should not be construed as a reference to Kunhamed Bicha or his promoter group, and that Kunhamed Bicha and his promoter group are not selling any shares in connection with the reported stake sale. The firm reiterated its commitment to transparency and accurate information for shareholders and stakeholders.

Trading volumes surpassed 6 million equity shares across NSE and BSE combined during the market session, contributing to the high‑volume gains on Wednesday’s market after the reported block deal. After touching the day’s low, the stock recovered some intraday losses but was trading 1.4% lower at ₹2,268.60 per share as of the mid‑day hours, reflecting a cautious market response to the uncertainty surrounding the sale.

During its Q1 earnings call, Avalon Technologies’ management expressed a preference for a conservative approach rather than aggressive growth chasing. The company cited timing risk on program ramps, supply chain disruption and tariff impacts on margins as key headwinds. Management is now focusing on diversified growth across verticals to reduce dependence and exploring new product types and geographies to fuel future growth.

NSE data shows that Avalon Technologies shares have delivered more than 300% returns to investors in the last three years and over 122% gains in the last one year period. The stock surged 154% on a year‑to‑date basis in 2026. However, the company’s stock has lost 5.2% in one month and declined 8% in the last five market sessions. The 52‑week high was ₹2,618 on September 18, 2026, while the 52‑week low was ₹777.30 on January 29, 2026. The market capitalisation was ₹15,413.69 crore as of the trading session on Wednesday, September 30, 2026.