Nippon India Mutual Fund raises stake in Whirlpool of India. Details here

Mint

11-07-2025

Nippon India Mutual Fund has increased its stake in Whirlpool of India, breaching the 5 percent ownership threshold—a key disclosure requirement under SEBI norms. The fund, acting through its trustee company Nippon Life India Trustee Ltd, acquired an additional 1,82,901 equity shares of the consumer durables company.
This latest acquisition took its overall stake to 5.0091 percent of the total share capital of Whirlpool of India, up from 4.8649 percent held earlier. Before the transaction, Nippon India Mutual Fund owned 61,72,230 equity shares in the company. The purchase has raised its total shareholding to 63,55,131 shares. According to the exchange filing, the transaction was executed through open market purchases between January 10, 2018, and July 8, 2025.
Crossing the 5 percent mark triggers mandatory disclosures under SEBI regulations, signalling rising institutional interest in the stock. While the fund has been gradually accumulating shares, this step suggests growing confidence in Whirlpool's long-term strategic potential, despite near-term business pressures.
The timing of the increased stake comes amid reports of a potential acquisition bid for Whirlpool of India. Indian conglomerates Reliance Retail and Havells are reportedly exploring a joint offer to buy a significant or controlling stake in the company. This move follows Whirlpool Corporation's global restructuring plans, which involve selling non-core assets and exiting less profitable geographies, including India.
Whirlpool of India, a subsidiary of the U.S.-based Whirlpool Corporation, has been facing operational and profitability challenges over the past few quarters. The company posted a net loss of ₹ 26.5 crore in Q4FY24, reflecting weak consumer demand and margin pressure. Still, the brand's strong equity in the Indian appliance market, wide product range, and extensive retail network make it an attractive acquisition target for Indian companies looking to scale up their presence in the consumer durables space.
A successful acquisition could help Reliance or Havells expand their product portfolios, tap into Whirlpool's distribution infrastructure, and consolidate their leadership in home appliances. With rising household incomes and increasing demand for quality home products, the Indian market offers substantial room for growth.
Following the news of increased stake and acquisition buzz, Whirlpool of India's stock gained nearly 3 percent to touch an intraday high of ₹ 1,366.85. However, the broader picture remains cautious. The stock is still down nearly 44 percent from its 52-week high of ₹ 2,450, reached in October 2024. It is currently trading well above its 52-week low of ₹ 899, recorded in March 2025, but has yet to regain strong momentum.
In terms of recent performance, the stock has declined almost 3 percent so far in July. This follows a 13.4 percent gain in June and mixed movement earlier this year, including a sharp 27 percent jump in April and significant declines of 18.5 percent in February and 38 percent in January.
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