Here’s why Dixon Technologies shares fell today

Dixon Technologies plummets: Shares of Dixon Technologies dropped as much as 4.48 per cent to hit an intraday low of Rs 6018.80 per share during early trade on Friday.

The shares fell after Directorate of Revenue Intelligence (DRI) searched a unit in Noida over raw material imports.

The Noida-headquartered company, via an exchange filing said, “We would like to inform the Directorate of Revenue Intelligence (DRI) conducted a search with respect to classification of the raw material imported for manufacturing of one of the products at the manufacturing facility of one of a subsidiary company at Noida on January 17, 2024, which concluded at 8:00 PM on the same day.” 

The electronics manufacturer further said that the impact on financial, operation or other activities of the listed entity cannot be quantified at this point of time. 

“In our assessment, we understand that it will not have any material impact on financial operations or other activities of the Company,” the company asserted.

However, the issues raised by the DRI are interpretational in nature and we stand committed to defend our interpretation using all recourse available to us. 

“We have extended full cooperation to the DRI, including providing complete information in a timely manner,” Dixon Technologies added.

The market capitalisation of the company is Rs 36,366 crore, according to BSE.

As of 10:11 am, shares of Dixon Technologies were trading 2.68 per cent lower at Rs 6,070 per share.