Clean Science & Technology , a specialty chemicals manufacturer, has clarified a significant error in a recent block deal that caused market confusion and volatility.

Block Deal Clarification

Clean Science & Technology confirmed that Spark Institutional Equities Pvt. Ltd. (SIEPL) made a punching error during a block trade, resulting in sell orders for significantly more shares than authorized. The error led to 6 crore shares appearing to change hands instead of the intended 2.5 crore shares.

Actual Sale Details

• Promoters involved: Ashok Boob, Krishnakumar Boob, and Parth Maheshwari
• Actual sale: Limited to 24% of outstanding equity (2.5 crore shares)
• Initial erroneous report: Suggested 56% stake sale

The company emphasized that the actual sale was much smaller than initially reported due to the trading error.

Market Impact and Stock Performance

The confusion surrounding the block deal led to significant stock volatility:

• Initial decline: 7%
• Recovery: 13% from day's low
• Current trading: 2.2% lower at ₹1,154.40

Clean Science & Technology shares have experienced broader declines:

• Past month: 9.5% decrease
• Year-to-date: 25.2% decrease

Next Steps

The selling promoters are awaiting a detailed explanation from SIEPL regarding the incident and the remedial steps to be taken. This incident highlights the potential impact of trading errors on market perceptions and stock performance.

Investors and market watchers will likely continue to monitor Clean Science & Technology closely in the coming days for any further developments or clarifications regarding this block deal and its aftermath.

Clean Science & Technology Ltd., a prominent player in the Indian chemical industry, recently addressed confusion surrounding reported significant block trading activity.

Clarification on Trading Volume

A Clean Science Tech executive has stated that a punching error by Spark Avendus resulted in extraordinary trading volume. The company clarified that the block deal involved only 24% equity, contrary to earlier reports of larger transactions.

Initial Reports

Previous reports had suggested substantial block trades on both major exchanges:

The combined block trades were initially reported to be worth over Rs 2,531.11 crores.

Corrected Information

With the company's clarification, it is now understood that these figures were the result of a punching error and do not accurately reflect the actual trading activity. The block deal involved a significantly smaller portion of equity than initially reported.

However, some verified transactions did take place:

• Norway-based Norges Bank purchased 14.62 lakh shares worth Rs 158 crore at Rs 1,077.68 per share, representing a 9% discount to the previous closing price of Rs 1,180.80.
• Nippon India Mutual Fund emerged as the largest buyer, acquiring 31.15 lakh shares for Rs 335 crore at Rs 1,075.20 per share.
• SBI Mutual Fund purchased 27.52 lakh shares for Rs 296 crore.
• Bajaj Allianz Life Insurance bought 8 lakh shares worth Rs 86 crore.

The transactions involved promoters Asha Ashok Boob and Ashok Ramnarayan Boob selling over 1.9 crore shares, representing approximately 20% stake in the company.

Market Response

Clean Science shares closed 2.8% lower at Rs 1,147.80. The stock has experienced significant declines with a 24.46% drop over the past year and 23.36% decline year-to-date.

About Clean Science and Technology

Clean Science and Technology Ltd. is known for its focus on developing eco-friendly technologies and processes in the chemical industry. The company specializes in manufacturing functionally critical specialty chemicals and has gained recognition for its innovative approaches to sustainable chemical production.

Investor Considerations

This incident highlights the importance of verifying information and waiting for official clarifications before drawing conclusions about market activities. Investors and analysts are advised to rely on official company statements and verified data when assessing stock movements and making investment decisions.

As always, thorough research and professional advice are recommended before making any investment choices. The company's prompt clarification demonstrates its commitment to transparency in communications with the market and its shareholders.