Shares of Dharan Infra‑EPC leapt to the upper circuit for the third day in a row, sparking a quick 20% rally after the firm announced a legal move in its insolvency case.
Legal update that moved the stock
The company's suspended board has appealed to the National Company Law Appellate Tribunal (NCLAT) to pause the ongoing Corporate Insolvency Resolution Process (CIRP). In the same filing, Dharan Infra‑EPC said it settled all dues with its main creditor, Tata Capital Housing Finance, on 31 December 2025.
Following the appeal, the NCLAT ordered the Interim Resolution Professional (IRP) to stop any further CIRP actions and to file an application under Section 12A of the Insolvency and Bankruptcy Code, essentially seeking to withdraw the earlier Section 7 petition.
Recent price performance
- Shares rose as much as 20% over five trading sessions.
- Despite the short‑term surge, the stock has fallen 22% over the past month and 43% in the last six months.
- 52‑week high: ₹1.72 (14 Jan 2025); 52‑week low: ₹0.21 (5 Jan 2026).
What this means for investors
The legal win removed a major uncertainty, which likely explains the rapid price jump. However, the broader market sentiment remains weak, and the stock’s longer‑term trend is still downward. Retail investors should weigh the short‑term upside against the lingering risks from the insolvency process.
Disclaimer
Remember, this is perspective, not a prediction. Do your own research or consult a financial advisor before making any investment decisions.