Mumbai, November 18, 2025: Indokem shares plunged sharply on Monday after the Maharashtra Pollution Control Board (MPCB) ordered the company to shut its Ambernath manufacturing unit within 72 hours for alleged violations of environmental norms. The directive triggered panic selling, sending the stock straight into a 5% lower circuit at ₹829.15 in early trade before a mild recovery.
Indokem Share Price: Stock Hits Lower Circuit, Then Recovers Slightly
At market open, heavy selling pressure dragged the stock to the 5% lower circuit limit.
By 10:13 AM, the stock trimmed losses to 2.49%, rebounding to ₹851 per share.
In comparison, the BSE Sensex also traded weak, down 0.35% at around 84,656.
Market Cap: ~₹2,342 crore
52-week high: ₹930
52-week low: ₹72.5
Despite strong gains over the past year, the shutdown notice created sudden downward pressure.
Why Did the Stock Crash? MPCB Issues Closure Direction
The fall was triggered by an MPCB “Closure Direction”, ordering the company to cease operations at its Ambernath MIDC, Chikhloli facility.
The notice, Ref No. MPCB/CD/2511140007, cites alleged violations of:
Water (Prevention & Control of Pollution) Act, 1974
Air (Prevention & Control of Pollution) Act, 1981
Related environmental rules and regulations
The board has instructed the company to shut the plant within 72 hours, significantly raising investor concerns.
Indokem Responds to Shutdown Order
In an exchange filing, Indokem stated it is preparing an appropriate representation to request the MPCB to withdraw the closure direction.
The company emphasized that it has always complied with all environmental and legal requirements and remains committed to full compliance going forward.
About Indokem
Indokem is a well-known manufacturer of:
Chemicals
Dyes
Textile auxiliaries
Founded in 1946 by the Khatau Group, it was among the earliest companies to initiate dye manufacturing in India. Its strong production capabilities, cost efficiency, and diversified product range make it a key player in the textile chemicals sector.
