Income Tax department conducts raid at Stove Kraft office; Shares plunge 5.3%

Income Tax department conducting raids StoveKraft office, the company said in its stock exchange filing on Wednesday. The company stock was trading 5.3%  lower at ₹488.55 on BSE till 2:20 pm.

The Indian cooking appliances manufacturer said in its stock exchange filing that officials of the Income Tax Department are conducting search at some of the premises and pants of the company. It also informed about cooperating with IT officials during the searches.

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“The Income Tax Department is conducting search at some of the premises / plants related to the Company. The officials of the Company are cooperating with the officials of the Income Tax Department and are responding to the queries raised by them,” said Stove Kraft in its stock exchange filing on Wednesday.

The full information related to IT raids will be updated once the IT search concludes.

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The company shares regained their value at the market closing hours and ended the day 2.23% lower at ₹506 on BSE on Wednesday. Company's share value has declined by 6.81% YTD and by 15.52% in last one year. It touched a 52-week low mark of ₹354 per share on BSE on 20 March, 2023.

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The Indian firm manufactures cooking appliances under Skava, Pigeon and Gilma brands. The company was founded by Rajendra Gandhi who is currently serving as the Managing Director of the firm. 

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Founded in 1999, the company produces a range of kitchen appliances including mixer grinders, pressure cookers, cooktops, toasters, chimneys, etc. The Bangalore-based firm launched its IPO in the Indian stock market at a valuation of ₹1500 crore in 2021. The company utilised the funds in initiating investments in renewable energy for captive power consumption. The company also enjoys global presence across Middle East countries, Kenya, Uganada, Fiji, Sri Lanka, Oman, Tanzania, etc.