According to some media reports, the Gujarat government seemed to haved issued closure notice to the chemical intermediate maker over the recent Nandesari explosions.
The stock of specialty chemicals traded close to its 52-week low of Rs 1,712.50 touched on June 21, 2021. The stock has corrected 43 per cent from its 52-week high of Rs 3,020 touched on October 19, 2021. At 09:30 AM, the stock was down 2 per cent at Rs 1,768.30, as compared to 0.27 per cent decline in the S&P BSE Sensex.
The BSE on Wednesday, June 8, 2002 as per the Exchange communication it sought a clarification from Deepak Nitrite with reference to the media report in Financial Express. The response from the company was awaited.
As per the notice issued by the office of Director of Industrial Safety & Health (DISH), functioning under the Gujarat government’s Labour & Employment department, Deepak Nitrite will not be permitted to start production activities till it follows compliances related to plant and building safety, the newspaper reported.
However, on Wednesday, the company informed the exchanges that the fire caused damage to warehouse / offices/ some utilities and part of manufacturing facility of Sodium Nitrite that were facing the warehouse. All the other manufacturing facilities including other two streams of Sodium Nitrite were unaffected and in safe conditions. Stability studies and other assessments were simultaneously being conducted to reassure safe operations.
The company further said it is in the process of submitting necessary applications / documents as sought by various authorities in order to obtain necessary permissions to restart the Plant, at the earliest.
Meanwhile, in past one week, the stock price of Deepak Nitrite has declined 16 per cent after the company's manufacturing facility in the Nandesari GIDC area in Vadodara caught a massive fire following five chemical blasts on June 2, 2022. In comparison, the S&P BSE Sensex was down 2 per cent during the same period
One subscription. Two world-class reads.
Already subscribed? Log in
Subscribe to read the full story →
Quarterly Starter
₹900
3 Months
₹300/Month
Smart Essential
₹2,700
1 Year
₹225/Month
Super Saver
₹3,900
2 Years
₹162/Month
Renews automatically, cancel anytime
Here’s what’s included in our digital subscription plans
Access to Exclusive Premium Stories Online
Over 30 behind the paywall stories daily, handpicked by our editors for subscribers


Complimentary Access to The New York Times
News, Games, Cooking, Audio, Wirecutter & The Athletic
Business Standard Epaper
Digital replica of our daily newspaper — with options to read, save, and share


Curated Newsletters
Insights on markets, finance, politics, tech, and more delivered to your inbox
Market Analysis & Investment Insights
In-depth market analysis & insights with access to The Smart Investor


Archives
Repository of articles and publications dating back to 1997
Ad-free Reading
Uninterrupted reading experience with no advertisements


Seamless Access Across All Devices
Access Business Standard across devices — mobile, tablet, or PC, via web or app