Jyoti CNC Shares Plunge 16% Amid French Investigation
Jyoti CNC shares crash 16% as France probes subsidiary, seizes bank accounts
The Economic Times
Image: The Economic Times
Shares of Jyoti CNC Automation fell nearly 16% after French authorities launched a judicial investigation into its subsidiary, Huron Graffenstaden SAS, for allegedly exporting dual-use technology. The investigation has led to the seizure of bank accounts and properties, impacting the company's market capitalization significantly.
- 01Jyoti CNC shares dropped nearly 16% following a French investigation.
- 02The investigation involves allegations of exporting dual-use technology.
- 03French authorities seized approximately €4 million in bank accounts.
- 04The company claims the investigation will not adversely affect its operations.
- 05Jyoti CNC's market capitalization fell by over ₹2,895 crore.
Advertisement
In-Article Ad
Jyoti CNC Automation's shares plummeted by nearly 16% on Monday, trading at ₹691.90 apiece, following a formal judicial investigation by French authorities into its subsidiary, Huron Graffenstaden SAS. The investigation centers on allegations that the subsidiary exported machines with dual-use technology, potentially violating European Union laws. As a result, French authorities have seized bank accounts totaling approximately €4 million (roughly $4.4 million USD) and two residential properties. Despite these developments, Jyoti CNC stated that the current business operations of Huron Graffenstaden SAS remain unaffected, and it intends to contest the allegations vigorously. The company's market capitalization has decreased by over ₹2,895 crore (approximately $348 million USD) within minutes of trading, reflecting a broader decline of over 29% in the stock this year and 31% over the past year.
Advertisement
In-Article Ad
The significant drop in share price affects investors and may influence future funding and operations of Jyoti CNC Automation.
Advertisement
In-Article Ad
Reader Poll
Do you think Jyoti CNC will recover from this investigation?
Connecting to poll...
Read the original article
Visit the source for the complete story.