Polycab India shares slip over 5%; here's what is weighing on the stock

Shares of Polycab India Ltd extended their decline for a second consecutive session on Wednesday, falling 5.40 per cent to hit a low of Rs 7,841 on NSE. The stock pared some losses and was last trading 2.54 per cent lower at Rs 8,079.50.

The counter was in focus amid developments in an insolvency-related case involving Asier Metals Pvt Ltd over an alleged operational debt of Rs 2.79 crore.

The company, in an exchange filing, stated, "With reference to the captioned subject, please find enclosed herewith the press release on the receipt of order dated October 09, 2026 from the Hon'ble National Company Law Appellate Tribunal (NCLAT), Principal Bench, New Delhi staying and keeping in abeyance the order dated October 07, 2026 passed by the Hon'ble National Company Law Tribunal, Ahmedabad Bench, regarding admission and initiation of Corporate Insolvency Resolution Process (CIRP) in C.P.(IB)No.273/9/ AHM/2026, in the matter of Asier Metals Private Limited vs. Polycab India Limited (the Company), under Section 9 of the Insolvency and Bankruptcy Code, 2016 (IBC) against the Company in respect of an alleged operational debt of Rs 2.79 crore."

Explaining its position, Polycab said, "With reference to the ongoing proceedings, we are of the opinion that we have a strong case with good grounds on merits, including that of it being a commercial dispute of Rs 2.79 crore, to set aside the order of admission passed by the National Company Law Tribunal, Ahmedabad (NCLT) and initiation of the Corporate Insolvency Resolution Process (CIRP) against the Company. We have filed an Appeal before the Hon'ble National Company Law Appellate Tribunal, Principal Bench, New Delhi (NCLAT) and the Hon'ble NCLAT has stayed and kept in abeyance the order of admission in its entirety (NCLAT Order)."

The company added, "... the impugned order is stayed and be kept in abeyance till further orders."

The appeal is scheduled for hearing on October 26, 2026. Polycab said, "The appeal is presently scheduled for hearing on October 26, 2026. In view thereof, business and management operations continue as usual."

On the potential financial impact, a Polycab spokesperson stated, "We do not expect any adverse / material impact on financial or business operations arising from the said order. We continue to hold a zero-debt position with the cash / investment liquidity and our Balance Sheet continues to remain strong with net cash position in excess of Rs 4,000 crore and net-worth of Rs 11,682 crore as per the audited financial statements for the year ended 31st March 2026. We remain focused on our business operations and are committed to conducting them with the highest standards of transparency, integrity, and governance."