Moneycontrol PRO
HomeNewsBusinessStocksSobha share price tumbles as tax sleuths raid premises

Sobha share price tumbles as tax sleuths raid premises

All concerned employees/staff of the company are extending their full cooperation to the officials, said the company

March 22, 2023 / 16:25 IST
Sobha | CMP: Rs 452.90 | The stock price tumbled over 12 percent after the real estate developer informed exchanges that the income tax department was carrying out a raid on its registered office and other premises. "All concerned employees of the company are extending their full cooperation to the officials," said the company.
     
     
    26 Aug, 2025 12:21
    Volume
    Todays L/H
    More

    Sobha Ltd shares fell nearly 5 percent on March 22 after the real estate developer informed exchanges of an Income Tax search at its registered office and other premises.

    "All concerned employees of the company are extending their full cooperation to the officials," said the company.

    At 10:45am, the stock was quoting at Rs 494.20 on the NSE, lower by 4.7 percent. It is down 34.4 percent from its 52-week high level and has bled 15 percent in 2023 so far.

    Follow our live blog for all the market action

    Local media reported that the raids began on Monday by I-T officials of the Bengaluru and Chennai divisions. The company's factories making wood, aluminium, and concrete products were also searched.

    Troubles have been mounting for the developer. In January, the Bruhat Bengaluru Mahanagara Palike (BBMP) had cancelled the Occupancy Certificate (OC) of the 2,000-unit Sobha City apartment in Thanisandra Main Road. It alleged that the apartment builder had submitted a fake no objection Certificate (NOC) of the Fire Department.

    Prior to that in December, the Enforcement Directorate had attached Sobha's land assets in Kerala worth Rs 201 crore under the provisions of the Prevention of Money Laundering Act, 2002 (PMLA). Since then, the stock has fallen 26 percent.

    The company's Q3 performance was not much encouraging either. It reported a 48 percent on-year decline in consolidated profit at Rs 31.8 crore for the quarter ended December FY23, impacted by weak operating performance.

    Revenue surged 40 percent on-year to Rs 868.2 crore for the quarter, with highest ever quarterly sales volume of 1.48 million square feet, however, EBITDA fell 41 percent YoY to Rs 88.8 crore.

    Moneycontrol News
    first published: Mar 22, 2023 11:20 am

    Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!

    Subscribe to Tech Newsletters

    • On Saturdays

      Find the best of Al News in one place, specially curated for you every weekend.

    • Daily-Weekdays

      Stay on top of the latest tech trends and biggest startup news.

    Advisory Alert: It has come to our attention that certain individuals are representing themselves as affiliates of Moneycontrol and soliciting funds on the false promise of assured returns on their investments. We wish to reiterate that Moneycontrol does not solicit funds from investors and neither does it promise any assured returns. In case you are approached by anyone making such claims, please write to us at grievanceofficer@nw18.com or call on 02268882347