This 11-day drop has now seen the stock fall below all of its key moving averages.
Gensol Engineering has also slipped into oversold territory on the charts with its Relative Strength Index falling to 14. A reading on the RSI below 30 indicates that the stock is in ‘Oversold’ territory.Gensol Engineering recently informed the exchanged that its chief financial officer (CFO) resigned from the company.
Ankit Jain, CFO of Gensol Engineering has resigned from his position citing personal reasons. Jain intends to explore other career opportunities outside the company. The resignation will be effective from March 13, 2025, as the company ensures compliance with SEBI regulations.
Gensol Engineering shares has been in focus after CARE Ratings downgraded its rating citing delay in debt servicing. Post CARE’s downgrade, ICRA too downgraded its credit rating on the stock, alleging that the company had falsified some loan repayment documents.Speaking to CNBC-TV18 exclusively on Thursday, Gensol Engineering’s Chairman & MD Anmol Singh Jaggi denied any wrongdoings on the falsification of documents, adding that the debt servicing delays were due to a liquidity mismatch while executing large projects.
At present, Gensol Engineering has an order book of over ₹7,000 crore, which it plans on executing over the next 18 months.
Futher, the CMD said that he is committed to fully servicing the debt and hopes for an upgrade from the rating agencies when they review their stance after three months. Current debt obligations for Gensol stand at ₹20 crore a month, meaning a ₹60 crore repayment need over the next three months.
Jaggi added that that two asset sales, sale of vehicles and a subsidiary are currently underway and that could fetch them a sum of ₹650 crore.
The promoters recently sold 2.3% stake, or 9,00,000 equity shares of the company. However, Gensol Engineering said its promoters have infused Rs 29 crore through the conversion of warrants into equity. The company said that the warrants would be converted into 4,43,934 equity shares at a price of Rs 871 per share.
Shares of Gensol Engineering, after today’s 5% lower circuit have declined to ₹276.05. The stock is now down 75% from its peak of ₹1,124, which it had surged to last year. The stock has more than halved in the first two months of the year itself, having tumbled 64%.
