Shares of Kalyan Jewellers India Ltd. resumed its downtrend on Tuesday, January 21, after snapping a three-day winning streak on Monday with a 6% advance.

The stock fell as much as 3% in early trading on Tuesday. The stock though, continues to remain in the Futures & Options (F&O) ban, which means no new positions can be created on the stock.

In an exchange filing on Monday evening, the company said that one of the company’s promoters, Seetharam Trikkur Kalyanaraman has pledged equity shares of the company held by him, in favour of multiple entities for various purposes.

TS Kalyanaraman has pledged shares of the company in favour of Catalyst Trusteeship, Bajaj Finance, Aditya Birla Finance, Tata Capital, STCI Finance, and HSBC Invest Direct Financial Service to avail loan facilities from them.

For the quarter that ended on December 31 last year, TS Kalyanaraman held a 22.29% stake in Kalyan Jewellers.

Additionally, another one of the company’s promoters, Ramesh Trikkur Kalyanaraman, pledged 1.7 crore shares in favour of Catalyst Trusteeship, Bajaj Finance, Aditya Birla Finance, Tata Capital and Infina Finance to avail a loan facility.

At the end of the December quarter, TK Ramesh had a 18.04% stake in Kalyan Jewellers.

When the company released its shareholding pattern for the quarter that ended in September, 20% of the promoter shareholding appeared as pledged. Promoters, after the Warburg buy, hold 62% stake in the company, of which 20% is pledged. That figure had remained constant at the end of the December quarter as well.

Kalyan Jewellers currently has 5.6 lakh retail investors, or those with authorised share capital of up to ₹2 lakh, from the 3.64 lakh figure at the end of December 2023.

The company will be declaring its December quarter results on January 30.

Shares of Kalyan Jewellers are trading 2.5% lower on Tuesday at ₹517.25. The stock has declined in 11 out of the last 13 trading sessions and has seen an erosion of over ₹30,000 crore to its market capitalisation.