Jan 30 (Reuters) - Whirlpool Corp ( WHR ) said it would

more than halve its stake in its Indian unit to about 20%,

sending Whirlpool of India's shares plunging an

exchange-allowed maximum of 20% to a near ten-month low on

Thursday.

The U.S.-listed home appliance maker, which currently has a

51% stake in the India unit, said it estimates net cash proceeds

of $550 million to $600 million from the sale, which it expects

to close by mid-to-late 2025.

The company will remain Whirlpool of India's largest

shareholder, followed by a number of mutual funds with stakes of

less than 10%.

Whirlpool Corp ( WHR ) sold a 24% stake in the Indian unit for about

$468 million last year and the latest sale comes as it aims to

pay off a major chunk of its debt amid a major rejig of its

global assets, including folding its European business into a

new firm and selling its Middle Eastern and African businesses.

Whirlpool Corp ( WHR ), which has dues worth $1.85 billion in 2025,

also said it expects to pay down about $700 million after the

stake sale.

"In 2025, our clear capital allocation priorities along with

the anticipated India transaction will maximize shareholder

value and further strengthen our balance sheet," Whirlpool Corp ( WHR )

said.

Whirlpool of India's stock crashed on Dec. 1, 2023, after

Whirlpool Corp ( WHR ) said it would sell the 24% stake. But, since

then, it recovered all those losses as of its close on

Wednesday.

The stock was last trading at 1,260.80 rupees on Thursday

afternoon, about 20% lower since Whirlpool announced its first

stake sale and 64% off analysts' average 12-month price target

for the stock, per LSEG data.