Promoters of Lux Industries sold a 4.21 per cent stake of their holding in the company on the bourses, raking in close to Rs 140 crore.

The Todi family, who held a 73.71 per cent stake in hosiery maker Lux, sold 10,62,166 shares on Monday, the company informed the bourses.

After the on-market sale, promoters will hold a 69.51 per cent stake in Lux.

An official of the company said the stake sale is a precursor to the merger of two unlisted companies with itself.

The Todi family’s holding would have crossed the 75 per cent mark after merger, breaching the maximum threshold allowed by market regulator Sebi for promoters to hold in a listed company.

The stake sale kept the scrip of Lux under pressure on the bourses. The stock closed 7.32 per cent, or Rs 102.60, down at Rs 1,298.75 on Monday on the NSE.

“The sale executed by the promoter group of companies is part of a strategic divestment process undertaken by the promoters.

“The sale would advance the progress scheme of amalgamation of J.M. Hosiery and Ebell Fashions Pvt Ltd with Lux Industries Ltd and their respective shareholders,” a statement from the company said.

Ebell Fashions, which owns the women’s legging Lyra brand, had registered a topline of Rs 254 crore in 2018-19.

J.M. Hosiery, which owns the GenX brand of knitted apparel, posted Rs 321 crore turnover in the last fiscal.