PNC Infratech shares were frozen at the lower circuit limit of 20%, trading at ₹366.70 on the BSE early on October 21, 2024. This reaction follows significant news over the weekend regarding the company’s disqualification from tender processes by the Ministry of Road Transport & Highways (MoRTH) for one year, effective from October 18, 2024.
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The disqualification affects PNC Infratech Limited and its subsidiaries, PNC Khajuraho Highways and PNC Bundelkhand Highways. The company received the order after appearing before MoRTH for a hearing on October 18, where they presented documents related to ongoing investigations by the CBI.
According to the company’s filing, the MoRTH decision came after reviewing the circumstances surrounding an FIR and charge sheet filed against the firm. The order restricts PNC Infratech and its subsidiaries from participating in any MoRTH tender process for a full year.
Despite this setback, PNC Infratech asserted that there would be no impact on its ongoing development, construction, operations, and maintenance activities. The company stated that it would assess any potential impacts on other business areas and communicate updates as necessary.
On a positive note, PNC Infratech shares have risen nearly 5% year-to-date and 7.5% over the past year, with an impressive 114% return over the last five years.
