Mumbai, September 30, 2025 – Shares of Man Industries (India) Ltd. slumped 15% on Tuesday, closing at Rs. 344, despite the company announcing that the Securities and Exchange Board of India (SEBI) had finally disposed of its long-pending legacy matters for FY 2015 to 2021.
According to the SEBI order dated September 29, 2025, the regulator imposed monetary penalties primarily related to non-consolidation of financial statements with Merino Shelters Private Limited (MSPL) and other procedural matters. SEBI levied a penalty of Rs. 25 lakh on the company and an additional Rs. 25 lakh each on three individuals – Chairman and Director Mr. Ramesh Mansukhani, Managing Director Mr. Nikhil Mansukhani, and former Chief Financial Officer Mr. Ashok Gupta.
Further, SEBI has restrained these individuals from accessing the securities market for a period of two years. However, the company clarified that the penalties and restrictions have no bearing on its day-to-day operations, as Man Industries does not engage in any trading activity in the securities markets.
In its statement, the company emphasized that the penalty is minimal when compared to the size and scale of its operations. Man Industries also highlighted its strong order book of over Rs. 4,700 crores, assuring stakeholders that the business remains fully operational and unaffected by the SEBI order. The company has indicated that it is examining the order in detail and may seek appropriate legal remedies.
Despite these assurances, investor sentiment took a sharp hit, resulting in a steep decline in the company’s share price. The 15% fall reflects broader concerns about regulatory scrutiny and corporate governance, even though the financial impact of the penalty is not significant.
Market observers noted that while the SEBI action pertains to procedural lapses from earlier financial years, the sharp correction in stock price highlights the sensitivity of investors to regulatory developments. Analysts expect the stock to remain volatile in the near term until there is more clarity on the company’s next legal course of action.
Man Industries, a leading manufacturer and exporter of large-diameter carbon steel line pipes, continues to position itself strongly in the oil, gas, water, and infrastructure segments. With its robust order book and operational continuity, industry experts believe the long-term fundamentals of the company remain intact despite the current market reaction.
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