Whirlpool of India’s Shares Hit New 52 Week Low After Difficult Start to 2025

Whirlpool Corp (NYSE: WHR), a U.S listed home appliance manufacturer, announced plans to reduce its stake in its Indian subsidiary from 51% to approximately 20%. This strategic decision led to a significant drop in Whirlpool of India's shares, which plummeted by the maximum exchange-allowed limit of 20% yesterday, and followed up with a further 9.58% decline in trading today.

This has seen Whirlpool of India's stock (NSE: WHIRLPOOL) hit a new 52 week low of INR 1,075, having now lost 37.19% in the first month of 2025. Whirlpool's stock on the NYSE also fell strongly on the day, shedding 16.48%, moving into negative territory (-1%) over the past 12 months.

The decision to cut the stake aligns with Whirlpool Corp’s broader strategy of paying down debt and restructuring its global assets. The company expects net cash proceeds from the sale to be between $550 million and $600 million. These proceeds are part of efforts to address $1.85 billion in dues by 2025, with plans to utilize approximately $700 million to reduce this debt.

Despite the share reduction, Whirlpool Corp will maintain its position as the largest shareholder in Whirlpool of India following the sale, which is anticipated to finalize by mid-to-late 2025. Mutual funds currently hold less than a 10% stake in the Indian unit.

Previously, Whirlpool Corp sold a 24% stake in the Indian unit, raising around $468 million. This move also forms part of the company’s initiative to reorganise assets globally, including restructuring its European business and selling its Middle Eastern and African businesses.