Optical fiber cables company Sterlite Tech's shares were sharply lower in early trade on September 1, down by over 3 percent, after an exchange filing said an American company - Prysmian Cables - has filed a lawsuit against STL's US subsidiary over breach of non-compete and confidentiality agreements.
Prysmian Cables and Systems USA, LLC sued the company and Stephen Szymanski, an employee of Sterlite Tech Inc over violation of 'certain non-compete and confidentiality agreements', which have provided Sterlite Tech with an 'alleged unjust competitive advantage', an exchange filing said.
Sterlite Tech has denied these allegations, and said the company is 'not a party to this dispute and no claims have been made against STL'.
A South Carolina jury had awarded $200,000 against Szymanski and $96.5 million against Sterlite Tech, and the Court affirmed the verdict on August 29, 2025, but denied pre-judgment interest. A pre-judgment interest refers to any compensation to the winning side in a lawsuit for the loss of the use of money between the date of the final judgment, and the claim becoming due.
"On August 9, 2024, following a three week trial, a Jury returned a verdict of $200,000 against Szymanski and USD 96.5 million against STI. On August 29, 2025, the Court affirmed the verdict but denied Plaintiff’s post-trial motion for pre-judgment interest," the company informed.
Sterlite Tech has disputed the ruling and intends to appeal the verdict. The judgment is 'unsupported by the testimony and evidence presented at trial' said Sterlite Tech. The company intends to 'vigorously pursue all available post-trial remedies, including an appeal', the statement said. "Matter is sub-judice and given STI intends to file an appeal, the ultimate financial implications, if any, will be assessed on the ultimate resolution of the matter," Sterlite Tech added.
Having recovered from early lows, the shares of Sterlite Tech are sharply down in the trading session. On a YTD basis, shares of STL are down by over 4 percent, and lower by 16 percent over past one year.
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