Brightcom Group shares hit 5% lower circuit after NSE circular to delist the stock

In a filing to the stock exchanges, the Brightcom Group issued a clarification regarding a NSE circular about the potential suspension of trading in its shares from next month. The IT services company said that the delisting of its shares is contingent on the company’s failure to declare its quarterly results.

“The NSE notice indicates that the suspension of trading is contingent upon the company's failure to declare its quarterly results for the second (Q2) and third (Q3) quarters by June 11, 2024,” the company said.

The company added that the Brightcom Group is committed to meeting the regulatory requirements and deadlines set by the exchanges. The company further mentioned in the release that its team is working diligently to release the quarterly results on time.

“We want to assure you that Brightcom Group Ltd. is fully committed to meeting all regulatory requirements and deadlines set by the exchanges. Our team is diligently working to finalise and release the quarterly results within the stipulated timelines,” the company informed the stock exchanges.

In a circular dated May 14, the National Stock Exchange of India announced that the trading in Brightcom Group shares will be suspended from June 14, 2024. The NSE circular was issued for non-compliance with the Master Circular by the Brightcom Group.

"Brightcom Group has not complied with requirements of Regulation 33 (i.e. the submission of financial results) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 (Listing Regulations) for two consecutive quarters’ i.e. September 30, 2023 and December 31, 2023. Hence, the trading in securities of Brightcom Group Limited shall be suspended w.e.f. June 14, 2024,” the NSE circular read.

Earlier on May 4, the company informed the exchanges that three of its Non-Executive and Independent Directors had resigned from the company citing pre-occupation and other personal commitments.

“We wish to inform you that Mrs. Jayalakshmi Kumari Kanukollu, Ms. Surabhi Sinha and Mr. Radhakishore Pandrangi, has tendered his resignation as the Non-Executive & Independent Directors of the Company, close of business hours on May 04, 2024, citing pre-occupation and other personal commitments,” the company said.