New Delhi, Dec 1 (IANS): Whirlpool of India shares are down by more than 8 per cent on Friday after the parent company announced the plans to cut its stake by up to 24 per cent.

Whirlpool of India shares are down 8.83 per cent at Rs 1429 on BSE.

Whirlpool Corporation on Thursday announced its intention to enter into one or more transactions to sell up to 24 per cent of its ownership interest in Whirlpool of India Limited (Whirlpool India) in 2024.

Whirlpool currently maintains a 75 per cent ownership interest in Whirlpool India through a wholly-owned subsidiary, and intends to retain a majority interest in Whirlpool India following completion of such transaction or transactions.

The Company expects to use transaction proceeds to reduce debt levels, which will enhance balance sheet flexibility.

Proceeds expected to be used for debt repayment are incremental to the $500 million term loan repayment that the Company previously disclosed it expects to pay in the fourth quarter of 2023.

Whirlpool said it continues to see India as a significant marketplace for growth and an integral part of the company’s growth strategy.

“The Company remains committed to expand the business with new product launches and the recently acquired Elica India business. The Company does not anticipate this announcement to impact previously issued full-year guidance,” Whirlpool said.