Som Distilleries shares fall sharply in early trade after children rescued from Madhya Pradesh plant

Som Distilleries and Breweries’ shares fell 16 per cent on Tuesday, June 18, after the National Commission for Protection of Child Rights (NCPCR) discovered over 50 children working at its Madhya Pradesh plant.

The NCPCR chairperson disclosed that over 50 children, including 20 young girls had chemical burns on their skin. The commission has registered a lawsuit against the company under the juvenile justice and bonded labour laws.

The shares dropped as much as 15.8 per cent to an intraday low of ₹105. It is presently over 33% away from its record high of ₹155.92, set on October 5, 2023. Currently, it is still up over 24% from its 52-week low of ₹84.52 on February 14, 2024.

The liquor stock has increased by 27% in the previous year and is nearly flat so far in 2024 (YTD). After rising by 0.3 per cent and 21% in May and April, respectively, the scrip has now dropped by more than 9 per cent in June. However, the stock fell in the first three months of the year, falling 4% in March, 1.1 per cent in February, and 2.6 per cent in January.

As of 12:40 PM, Som Distilleries shares are trading 5.50% at ₹117.80 on the NSE.

 

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