Olectra Greentech shares plunge 6% after promoter’s name appears on electoral bond list

Actions of Olectra GreenTech fell nearly 6% on Friday to the day's low of Rs 1,687 on the NSE after the company's promoter MEIL Holdings emerged as the second largest buyer of electoral bonds. The latter has purchased electoral bonds worth Rs 966 crore.

Olectra Greentech manufactures electric buses, while MEIL or Megha Engineering & Infrastructure Limited has business interests in a number of sectors including irrigation, transport, manufacturing, power, drinking water and hydrocarbons.

The list was shared by the Election Commission of India website following a Supreme Court order that had asked the State Bank of India (SBI) to deliver the list to the national electoral control body.

On Thursday, the stock closed with gains of over 13% at Rs 1,810.

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Olectra Greentech shares have given multibagger returns of 172% in the last 12 months, while its returns in 2024 so far have been in the range of 25%. This is a higher performance than Nifty, which has generated returns of 29% in the last year and 1% so far this year. Currently, the stock is trading below its 50-day SMA and above its 200-day SMA. Olectra's consolidated net profit for the quarter ended December stood at Rs 27.11 crore, up 46 per cent from Rs 18.57 crore reported by the company in the September quarter. In the corresponding quarter of the last financial year, the company posted a profit after tax (PAT) of Rs 15.30 crore. Revenue from operations for the reported quarter stood at Rs 342.14 crore as against Rs 256.42 crore in Q3FY23, an increase of over 33%. Sequentially, revenue increased 11.40%. Other listed entities whose names appeared in the SBI list include SpeciajetIndian, Grasim Industries, Piramal Companies, torrent power, Bharti Airtel, vedanta, Apollo TiresPVR, Sula Wines, Welspunsun pharmaceuticals, Vardhman TextilesCEAT tires, Dr. Reddy's Laboratories, TIC, Cipla and Ultra-technological cement.

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