Opto Circuits locked in 5% lower circuit after zooming 1250% in 66 days

Topics Buzzing stocks | Markets

On May 20, Opto Circuits announced that it has received orders from global customers due to increase in export demand for medical products
Shares of Opto Circuits were locked in upper circuit for 13th straight day, up 5 per cent to 52-week high level of Rs 19.85 on the BSE on Friday.  However, the stock tumbled 9 per cent from its intra-day high and was locked in 5 per cent lower circuit at Rs 18:05.

Till 11:25, a combined 3.13 million equity shares had changed hands and there were pending sell orders for 3.92 million shares on the BSE and NSE, the exchange data shows.

The stock of the company engaged in medical equipment business has zoomed 1,250 per cent in 66 days from the level of Rs 1.47 on March 26, 2020 on the BSE.

The stock is trading under Trade to Trade (T2T) segment or 'T' group. These stocks are not allowed for intraday trading. The T2T stocks can only be delivery-based i.e. the buyer has to take the delivery of these shares.

On May 20, Opto Circuits announced that it has received orders from global customers due to increase in export demand for medical products.

The company also proposes to manufacture pulse oximeter; multi para monitor systems and digital thermometers for domestic and global market. These medical devices products will be manufactured in India under the 'MAKE IN INDIA' call given by Government of India. The Company has FDA, USA Establishment Registration and enjoys the patent and technology for the above products, it said.

Meanwhile, Opto Circuits, which had proposed to announce its January-March quarter (Q4FY20) results on Monday, June 29, 2020, has postpone the same after the relaxation granted by market regulator SEBI, due to the continuing impact of the Covid 19 pandemic. The Company said it will inform the stock exchanges the fresh date of board meeting in due course.

As of March 31, 2020, the promoters held 19.48 per cent stake in Opto Circuits. Out of public holding of 80.52 per cent, 69.32 per cent stakes are with individual shareholders, while 950 non-resident Indians held 9.69 per cent stake in the company, the shareholding pattern data shows.

“The company has borrowing from State Bank of India, HDFC Bank, YES Bank, Standard Chartered Bank and Bank of Nova Scotia, for which no provision of interest is made in the financial statements as these banks have categorized the respective borrowings a non-performing asset (NPA). The management has submitted proposals for One Time Settlement

OTS)/negotiated settlement/compromise proposal/restructuring etc of its loan portfolios with State Bank of India, HDFC Bank and Bank of Nova Scotia,” Opto Circuits said in 2018-19 annual report.

Opto Circuits is a multinational medical device company headquartered out of Bengaluru, India. The company design develops, manufacture, market and distribute a range of medical products that are used by healthcare establishments in more than 150 countries. The company specializes in vital signs monitoring, emergency cardiac care, vascular treatments and sensing technologies.


Business Standard is now on Telegram.
For insightful reports and views on business, markets, politics and other issues, subscribe to our official Telegram channel