Gitanjali Gems continue to lose sheen, shares plunge 60.5% in 8 days

Shares of Gitanjali Gems remained weak for the eighth straight session today and have plunged 60.5 per cent, eroding its market capitalisation by Rs 4.50 billion, since the Rs 114 billion PNB scam came to light.

The stock declined by 4.98 per cent to end at Rs 24.80 — its lowest trading permissible limit for the day on Friday — on BSE.

On NSE, the stock slipped 4.99 per cent to hit its lower price band of Rs 24.75.

In last eight trading sessions, the stock slumped 60.5 per cent, wiping out Rs 4.50 billion from its market valuation.

On February 14, Punjab National Bank (PNB) disclosed that it detected fraudulent transactions with financial implication of about Rs 113.46 billion and the matter has been referred to law enforcement agencies for the recovery.

While billionaire jewellery designer Nirav Modi, the alleged perpetrator of this fraud, is not directly linked to any listed company, his relative and business associate Mehul Choksi's Gitanjali Gems is a listed firm.