The Man Industries share price plunged nearly 13 per cent on Tuesday following the company’s announcement on a long-pending matter with the Securities and Exchange Board of India (SEBI).
SEBI order imposes Rs 25 lakh penalty, Two-year bar on trading
As per the SEBI order dated September 29, a penalty of Rs 25 lakh has been imposed on the company. The regulator has also barred Man Industries from trading in shares of other firms for two years.
In a regulatory filing on September 30, the company said the case, linked to the non-consolidation of its subsidiary Merino Shelters and minor compliance lapses between FY15-FY21, has been resolved. The company said this will not impact its financial position and clarified that the restriction will not affect operations, as such activity is not part of its core business. Importantly, there is no restriction on investors trading in the company’s shares.
The company also said that SEBI order relates only to legacy matters and has no bearing on current or future operations. It also noted that since FY23-FY24, its financial statements have been consolidated in line with regulations.
Man Industries: Margins improve across projects
Alongside the regulatory update on SEBI case, the company highlighted its strong business outlook. It reported a record order book of Rs 4,700 crore with improved margins across projects.
The company has also monetised MSPL’s assets, bringing in Rs 70 crore, while another Rs 650–700 crore is expected to flow in over the next five to six years. Man Industries said it has not faced any compliance lapses in the last four years, which reflects strengthened corporate governance and internal controls.
The company added that all new capital expenditure projects are progressing on schedule. It expects to complete these by the fourth quarter of FY26.
“While complying with the order, the company reserves its right to pursue all legal remedies available under law,” Man Industries said in its statement.