Street chaos marks the end of a record year for bulk deals

The Indian equity market closed FY25 with a record-breaking performance in bulk and block deals, clocking a total transaction value of ₹9.4 trillion, 3% higher than FY24's ₹9.1 trillion and the highest so far.

- Mayur Bhalerao

Yet, beneath this stellar figure lies a tale of two halves. The first six months boomed with high-value trades and institutional enthusiasm. This quickly reversed into a sobering decline in the second half as global turbulence (underlined by a tariff-trigger-happy Donald Trump), tepid corporate earnings, and investor caution took centre stage.

At the same time, analysts are sharply divided over the outlook for block deals in the current fiscal (FY26).

Bulk and block deals are large trades in the stock market, often made by institutional investors, which can give clues about investor sentiment or activity in specific stocks.

Almost 64% or ₹6 trillion of FY25's bulk and block deals came in the first half of FY25 (April to September). "The surge in block deals early in 2024 was driven by promoters offloading stakes as many companies traded at unsustainably high valuations. Recognizing that these levels wouldn't hold, they capitalized on the opportunity," said Anand K. Rathi, co-founder of investment management platform MIRA Money.

Sectorally, the bulk and block deal action remained concentrated in consumer discretionary, financial services, industrials, commodities, services, and telecom.

Among the most active institutional players were Graviton Research Capital, HRTI Pvt Ltd, Aakraya Research LLP, Siddhartha Yog, and Dodona Holdings Ltd. These names featured prominently in trades across both large and mid-capcompanies in the early part of the year.