India Cements Shares Tank Over 9% After ED Searches Premises
The ED searched the company's premises on Wednesday and Thursday to inspect for any irregularities regarding the FEMA.
Shares of India Cements Ltd. plunged over 9% on Thursday to the lowest in over a week after the Enforcement Directorate conducted searches at its Chennai office.
The ED searched its premises on Wednesday and Thursday to inspect for any irregularities regarding the Foreign Exchange Management Act, it said in an exchange filing.
India Cements provided EB with all the relevant information. It does not expect any material impact on the company with regard to the investigation, according to the filing.
On the NSE, India Cements' stock fell as much as 9.45% to Rs 236.70 apiece, the lowest since Jan 24. It was trading 6.27% lower at Rs 245 per share compared to a 0.03% decline in the benchmark Nifty 50 at 1:50 p.m.
The share price has risen by 26.39% in the past 12 months. The total traded volume so far in the day stood at 11 times its 30-day average. The relative strength index was at 43.73.
Seven analysts tracking the company suggest 'sell', according to Bloomberg data. The average of 12-month analyst price targets implies a potential downside of 32.4%.
