Ashoka Buildcon shares slip 6% in trade: what's worrying investors?

Ashoka Buildcon shares slipped 6 per cent on the BSE, logging an intra-day low at ₹172.9 per share. The selling pressure on the counter came after the company was temporarily suspended from participating in the ongoing and future bids of National Highways Authority of India (NHAI) for one month.

 

At 9:35 AM, Ashoka Builcon’s share price was trading 3.45 per cent lower at ₹177.75 per share on BSE. In comparison, the BSE Sensex was up 0.11 per cent at 85,815.89.

 

The company has a total market capitalisation of ₹5,012.31 crore. Its 52-week high was at ₹319 and 52-week low was at ₹158.05. 

 

 

According to the filing, the company received a show cause notice on November 26, 2025, in respect of the construction of the six-lane elevated corridor from Aroor to Thuravoor Thekku section of NH-66. 

 

The notice pertained to the incident involving the fall of two precast PSC girders, one of which fell onto a commercial vehicle, causing the fatality of the driver.

 

Thus, the company is temporarily suspended from participating in the ongoing or future bids of NHAI for a month or completion of the investigation by the expert committee, whichever is later.

 

Ashoka Buildcon has denied the allegation that public safety was endangered. The incident in question resulted from circumstances that were sudden, unforeseeable, and not attributable to any lapse in the company’s safety practices, the filing read.  

 

In its defence, the company said that the incident was triggered due to the failure of the hydraulic jack. The failure was sudden and unpredictable, without any prior warning signs, and due to internal seal damages

 

Further, the girder fell on a moving goods carrier vehicle which entered forcibly in a prohibited construction zone. 

 

“The company has consistently implemented and maintained all safety precautions and protocols in line with good industrial practices, contractual requirements, and applicable codes and safety measures,” the company stated.

 

Meanwhile, the company is in the process of ascertaining the financial impact and shall inform the exchanges in due course of time. 

 

In a separate filing, the company informed that it has completed the acquisition of the remaining stakes held by Macquarie SBI Infrastructure Investments and SBI Macquarie Infrastructure Trust (the Investors) in its subsidiary, Ashoka Concessions Limited (ACL). 

 

On November 27, 2025, the company acquired 340,000 equity shares, along with 3,283,402 Class A Compulsorily Convertible Debentures (CCDs) and 8,482,891 Class B CCDs, for a total of ₹667.09 crore. This transaction provides a full exit for the Investors from ACL.

 

Following this acquisition, ACL has become a wholly-owned subsidiary of Ashoka Buildcon, effective November 27, 2025.