PNC Infratech shares tank 20%. What’s triggering the steep plunge on Tuesday?
The move will prevent PNC Infratech from participating in bids floated by the Ministry of Road Transport and Highways (MoRTH), NHAI and their executing agencies during the period.
PNC Infratech said it received a letter from NHAI on September 11 extending the debarment of Awadh Expressway, the concessionaire, to the company in its capacity as promoter. The company and the concessionaire are evaluating legal remedies in the matter, according to a stock exchange filing.
The company said the debarment will not affect its status as a going concern or the execution, operation and maintenance of its ongoing projects. It added that any financial implications will be disclosed in due course as clarity emerges. The extension relates to the action taken by NHAI against Awadh Expressway and its subsequent extension to PNC Infratech as the concessionaire’s promoter.
The development follows NHAI’s action concerning the Kanpur-Lucknow Expressway project, for which Awadh Expressway is the concessionaire. In a regulatory filing dated August 6, PNC Infratech had said it had not been debarred or declared a non-performer by NHAI at that point.
A Ministry of Road Transport and Highways press release issued on August 5 said NHAI had served a notice proposing to declare PNC Infratech a non-performer. Under the proposed action, the concessionaire would become ineligible to participate in future NHAI bidding.
PNC Infra Q1 results
In August, the company reported a 23% year-on-year decline in consolidated net profit for the June quarter in August. Consolidated net profit for the first quarter of fiscal 2027 stood at Rs 332 crore, compared with Rs 431 crore in the same quarter a year earlier.Revenue from operations, however, rose 18.6% year-on-year to Rs 1,688 crore from Rs 1,423 crore in the year-ago period. EBITDA increased 42.1% to Rs 523 crore from Rs 368 crore, while EBITDA margin expanded to 31% from 25.9% a year earlier.
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