Manappuram Finance surges after court orders ED to return frozen property documents

Shares of non-banking financial corporation (NBFC) Manappuram Finance surged as much as 6 per cent to hit an intraday high of Rs 148.20 per share.

The shares surged after Kerala High Court on Wednesday directed the Enforcement Directorate (ED) to return all original documents of properties frozen within 3 weeks.

In an exchange filing, the NBFC said, “In view of the quashing of the FIR and ECIR and in the absence of any further FIR being registered, the Hon’ble High Court of Kerala on September 12, 2023, has directed the Enforcement Directorate to return and release all the original documents of the properties frozen pursuant to order dated May 4, 2022 issued by the Enforcement Directorate under Section 17 (1-A) of the Prevention of Money Laundering Act, 2002 within 3 weeks from the date of receipt of the judgment of the High Court.”

Earlier, Kerala High Court had quashed the First Information Report (FIR) registered against VP Nandakumar.

The shares of Manappuram Finance have surged over 23 per cent year-to-date (YTD). 

Manappuram Finance’s reported a 77 per cent year-on-year (YoY) rise in net profit at Rs 498 crore for the first quarter that ended June 30, 2023, against a net profit of Rs 281.9 crore in the same quarter last year. Its Net interest income (NII) soared 38.2 per cent to Rs 1,378 crore as opposed to Rs 997.4 crore in the corresponding quarter of FY23.

The market capitalisation of the company is Rs 12,425.66 crore. The stock’s 52-week high is 156.55 per share while its 52-week low is Rs 91.70 per share.

As of 12:21 pm, the stocks of the company were trading 4.20 per cent higher at Rs 146.30 per share.