Kiri Industries zooms 20% post favorable Singapore Court verdict

The stock is up 20% at Rs 576 after the Singapore court dismissed all the claims and counterclaims against promoters Pravin Kiri, Manish Kiri and others.

Shares of Kiri Industries (KIL) are locked in upper circuit of 20% at Rs 576 per share on the BSE on back of heavy volumes after the company said that the Singapore court has dismissed all the claims and counterclaims against promoters Pravin Kiri, Manish Kiri, Amitava Mukherjee (KIL's nominated director on DyStar board) and Kiri International Mauritius Pvt Ltd (KIPL).

The court ordered Senda International Capital Limited (Senda) to buy KIL' 37.57% stake in DyStar Global Holdings (Singapore) Pte Ltd (DyStar).

“The court was pleased to direct Senda to purchase KIL's 37.57% shareholding in DyStar, based on a valuation to be assessed. The Court has also directed the parties to attend a Case Management Conference (" CMC") on a date to be decided by the Court for fixing of timeline to determine the process of valuation whether the valuation of KIL's Shareholding should be undertaken by the Court, or a valuer appointed by the Court or by the Parties, or by some other method,” the court said in the order.

Though several claims and counterclaims were raised, the Court only awarded judgment for DyStar against KIL in respect of the sums of Euro 1.7 million and S$443,813 (comprising monies due and owing in respect of Process Technology Development fees and audit costs, respectively) and damages to be assessed for a breach of non complete clause in the Share Subscription and Shareholders Agreement ("SSSA") executed by the Parties, it added. CLICK HERE FOR FULL REPORT.

The trading volumes on the counter jumped more than six-fold with a combined 1.46 million shares changed hands on the BSE and NSE till 12:52 pm. There were pending buy orders for 223,278 shares on both the exchanges.