An arm of Hong Kong-based brokerage CLSA is reportedly going to sell its entire 6.15 per cent holding in Chennai-based Apollo Hospitals Enterprise through a block deal.

A source with direct knowledge of the developments at the brokerage revealed that CLSA Mauritius Ltd will offload its entire holding in Apollo by selling 8.55 million shares in a price range of Rs 824-876.6 per share, pocketing Rs 705 to Rs 750 crore.

The reported price range represents a discount of up to 6 per cent to Apollo's close price of Rs 876.60 per share on Tuesday. On Wednesday, Indian stock markets were shut for a religious holiday.

According to a term sheet, Citigroup has been selected as the sole bookrunner for stake sale deal.

CLSA will sell the stake through a block deal, which has been buzzing this year. On Tuesday, L&T Finance offloaded around 8 million shares of Federal Bank via block deals at an average of Rs 453 a share.

By selling its stake in an Indian company, CLSA will join the list of foreign equity funds which are selling their stakes in Indian businesses in order to take advantage of around 22 per cent increase in the Mumbai market index thus far this year. Apollo stock is up 55 per cent so far this year.

CLSA had invested in Apollo Hospitals Enterprise in 2008.