SKS Microfinance is trading higher by 7% at Rs 70 after the company said that Andhra Pradesh High Court has issued an interim order suspending District Rural Development Agency's (DRDA) notice to cancel the company's registration in Mahabubnagar district.
"Following a petition filed by SKS Microfinance, the Honourable Andhra Pradesh High Court issued an interim order suspending the District Rural Development Agency's notice cancelling SKS Microfinance's registration in Mahabubnagar district,” SKS Microfinance said in a regulatory filing.
"Prima facie, a perusal of the impugned order indicates that no valid reasons have been recorded in cancelling the registration as contemplated under section 5 of the Andhra Pradesh Micro Finance
Institutions (Regulation of Money Lending) Act, 2011," observed the Court in its order." the court said in its order, SKS said in a statement.
The stock opened at Rs 67.80 and hit a high of Rs 71.25 on the National Stock Exchange. A combined 285,135 shares have changed hands on the counter in opening deals.