A labor strike has disrupted operations at KEI Industries, halting production at two of its units and causing the share price to plummet on June 19. The strike has partially affected the Rakholi and Chinchpada units, leading to an estimated daily production loss of approximately Rs 8 crore, as reported in a stock exchange filing by the cables and wires manufacturer.
KEI Industries’ stock dropped by 5.55 percent on June 19, closing at Rs 4,429.9. Meanwhile, the Nifty 50 index experienced a slight decline of 0.15 percent. Despite this setback, KEI Industries’ stock has doubled over the past year.
The company assured that all its assets are insured and reported no damage to any assets. The strike is primarily due to demands for higher wages, which the company has described as ‘completely unwarranted’.
