Promoter Pledge
Promoter Share Pledging
Credit & DebtPromoters borrowing against their own shareholding by pledging shares as collateral. Disclosed quarterly in Indian shareholding patterns.
Formula
Pledge Ratio = Pledged Promoter Shares / Total Promoter Shares
Why it matters
High pledging is a fragility signal: a falling share price can trigger margin calls, forced selling by lenders, and a self-reinforcing crash, sometimes ending in loss of promoter control.
Indian example
Related terms
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