Patel Engineering crashes 12% after CMD Rupen Patel dies, pares YTD gains

The Board of Patel Engineering has approved the appointment of Janky Patel as the 'Chairperson' of the company effective from July 6, 2024

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Patel Engineering CMD Rupen Patel dies: Patel Engineering share price tumbled 12.11 per cent in the intraday trade on Monday. Parel Engineering stock hit an intraday low of Rs 60.67 per share on the BSE as against a 0.12 per cent dip in the benchmark BSE Sensex at 12:40 PM.

The fall in the stock price of Patel Engineering came after the company's Chairman & Managing Director Rupen Patel died unexpectedly in the late hours of Friday, July 5, 2024. Patel was re-appointed as the CMD effective from April 1, 2024.

"He had played crucial leadership roles through which the company immensely benefited," Patel Engineering said in its statement.

Patel Engineering is one of the leading integrated infrastructure and construction services conglomerates in India. The company has experience encompassing all sectors of the Infrastructure industry from dams, tunnels, micro-runnels, hydroelectric projects, irrigation projects, highways, roads, bridges, railways, refineries to real estates and townships.

Meanwhile, the Board of Patel Engineering has approved the appointment of Janky Patel as an additional director/non-executive director, to be designated as 'Chairperson' of the company effective from July 6, 2024.

Additionally, Patel Engineering has appointed Kavita Shirvaikar as the Acting Managing Director of the Company effective from July 6, 2024. She has stepped down from the position of chief financial officer (CFO).

That apart, Patel Engineering has appointed Rahul Agarwal as the Acting Chief Financial Officer of the company effective from July 6, 2024. Pursuant to his appointment of CFO, he will be appointed as Key Managerial Personnel/Senior Management Personnel of the company, it said in a statement.

With today's decline the shares of Patel Engineering have erased nearly all of the gains garnered in the current financial year. As against a 14.7 per cent rally until Friday, July 5, the stock is now little changed versus its December 29, 2023, close of Rs 60.14 per share. By comparison, the BSE Sensex is up over 10 per cent thus far in 2024.

Patel Engineering stock price hit a record high of Rs 740 on January 4, 2008, and an all-time low of Rs 0.69 on October 13, 1995. Patel Engineering stock hit a 52-week high of Rs 79 on February 6, 2024, and a 52-week low of Rs 34.95 on July 10, 2023.