Sigachi Industries hits over 2-year low as CEO remand weighs on stock
Sigachi Industries share price slumped on Monday as the company informed Managing Director and Chief Executive Officer Amit Raj Sinha was remanded in a fatal blast case on Sunday.
 "Sigachi Industries hits over 2-year low as CEO remand weighs on stock")
Sigachi Industries share price today: Sigachi Industries share price fell to the lowest level in over two years on Monday as bearish sentiment around the stock grew after Managing Director and Chief Executive Officer, Amit Raj Sinha, was held in an industrial blast case. The counter price slumped as much as 10.16 per cent to ₹30.50, the lowest level since August 7, 2023.
Sigachi Industries extended losses into a second straight session on Monday. The share price fell below its 50-day moving average of ₹35.72. The counter also saw 6.63 million shares changing hands on the National Stock Exchange (NSE), so far in the session, compared to a two-week average volume of 1.6 million shares.
On a year-to-date basis, Sigachi Industries' share price has slumped 36.32 per cent in 2025, as compared to 9.81 per cent advance in the NSE Nifty 50 index.
The scrip hit a 52-week high of ₹59.59 apiece on June 16. From the 52-week high level, Sigachi Industries share price has decreased 48.81 per cent. Why did Sigachi Industries share price fall today?
Sigachi Industries share price slumped on Monday as the company informed Managing Director and Chief Executive Officer Amit Raj Sinha has been remanded in a fatal blast case on Sunday. Sinha's arrest created an uncertainty about the management stability, reputational challenges, and legal repercussions, which weighed on investors' minds.
Sigachi Industry, meanwhile, has appointed Lijo Stephen Chacko, deputy group chief executive officer to oversee the operations and ensure daily activities run smoothly, according to the exchange filing.
Sinha is accused number 2 in an ongoing investigation into the industrial blast that occurred at the company's Hyderabad unit located at Pashamylaram on June 30. He was booked in for culpable homicide and gross negligence.
The fatal blast claimed the lives of 40 people and left 33 injured, according to a Sigachi Industries's exchange filing released on July 2. In the same exchange filing, the company announced that operation at the plant will remain suspended for approximately 90 days.
The microcrystalline-cellulose plant accounts for a sizable portion of Sigachi Industries' capacity. Hence, the production disruption due to the blast may lead to earnings volatility and loss of investors' confidence, said Prashanth Tapse, senior vice president of research at Mehta Equities. "Additionally, high promoter pledging (39.6 per cent), fluctuating profitability, and the need for sustained recovery in operating metrics remain key overhangs," he said.
Sigachi Industries shares may witness a short-term rebound driven by any potential sectoral tailwinds, but overall sentiment could stay unstable until the company demonstrates consistent execution, improved safety and risk management, and normalises the earnings to pre-accident levels, he said.