Balu Forge Surges 10% as Income Tax Probe Concludes Positively
Overview
Balu Forge shares jumped 10% Tuesday, ending an eight-day losing streak, following the conclusion of an Income Tax department search. The company reported full cooperation and stated no incriminating documents were found, asserting that business operations and financials remain unaffected. This marks the stock's first gain in 2026 after a significant prior decline.
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Balu Forge Recovers on Probe Conclusion
Shares of Balu Forge Ltd. surged as much as 10% on Tuesday, Jan. 13, breaking an extended eight-day losing streak. This marks the stock's first day of gains in 2026, following a period where it had dropped 27%.
Income Tax Department Search Concludes
The upward movement comes after the company confirmed the conclusion of a search operation conducted by the Income Tax department. The probe, initiated under the Income Tax Act, 1961, at certain offices and manufacturing units, commenced on January 7.
Company Reassures Investors
In an exchange filing, Balu Forge emphasized that the company, its promoters, and key managerial personnel fully cooperated with the officials. The company stated that no incriminating documents were found or seized, and its business operations and production continue as usual. Balu Forge added that its financials have not experienced any material adverse impact and pledged to provide further information as required.
Balu Forge is a key manufacturer of crankshafts, essential components for the automotive, agricultural, marine, and industrial sectors. The stock was trading 7.8% higher at ₹475.9 on Tuesday.
