The stock of Vishal Mega Mart on Tuesday saw a sharp decline of nearly 8 per cent in the early trade after a block deal.

The drop came after a massive block deal worth Rs 10,488 crore in the stock market.

The deal was carried out at an average price of Rs 115 per share, which was about 8 per cent lower than the previous day’s closing price of Rs 124.90.

As of 1:15 PM, the stock had recovered slightly but was still down by 3.77 per cent, trading at Rs 120.14.

The drop in share price has created nervousness among investors, especially because of the size of the transaction.

The seller behind this major deal is reported to be Samayat Services LLP, the promoter entity of Vishal Mega Mart.

Samayat is backed by global private equity giants Partners Group and Kedaara Capital. According to shareholding data from March 2025, Samayat held around 74.55 per cent of the company.

Market reports say the promoter was planning to sell up to 10 per cent of the total equity in this block deal.

This sale comes right after the end of the pre-IPO lock-in period, which had earlier prevented early investors from selling their shares.

With the lock-in ending, about 256.2 crore shares -- or 56 per cent of the total equity -- became eligible for trading. This set the stage for such a large deal to take place.

In the early hours of trading, the stock witnessed heavy volumes. Over 1.2 crore shares changed hands on the National Stock Exchange (NSE) alone -- much higher than the usual daily average.

Despite the initial panic, many market experts believe the company’s business remains strong.

They see this sale more as a move by private equity investors to rebalance their portfolios or unlock some capital, rather than a sign of trouble in the company.

Still, in the short term, investors are expected to stay cautious until there is clarity on the new ownership structure.