Shares of Spandana Sphoorty Financial soared 18.5 per cent to Rs 395 on the BSE in Thursday’s intra-day trade after the company and Ms. Padmaja Reddy resolved their differences and agreed to part ways on amicable terms. The stock of the non-banking financial company has rallied over 37 per cent in past three trading days. In comparison, the S&P BSE Sensex was up 1.2 per cent at 52,435 points as of 11:00 AM.
Ms. Padmaja Reddy, the founder of Spandana Sphoorty Financial, resigned from her position as the Managing Director of the company on November 2, 2021. Subsequently, certain disputes arose between Ms. Padmaja Reddy and the board of directors of the company (Board).
“We are now pleased to inform you that the company and Ms. Reddy have resolved their differences and agreed to part ways on amicable terms,” the company said in a joint press release.
While Ms. Reddy is no longer serving as the Managing Director of the company, she continues to be a substantial shareholder and member of the company’s Board.
Needless to state, that the company and its board reiterate that they are committed to growing the company’s business with a view to take it to greater heights. Ms. Reddy continues to remain a well-wisher of Spandana and will extend all the required guidance and support, the statement said.
Despite the past three-day rally, the stock in the last one year has underperformed the market by falling 46 per cent, as compared to a marginal 0.27 per cent decline in the Sensex.
Meanwhile, the company has yet not announced its quarter and financial results for the financial year ended March 31, 2022. “While we will endeavor to declare the results at the earliest, the same will be submitted no later than June 30, 2022,” the company had said on May 30, 2022.
(With inputs from Rex Cano)