Awfis flags insider trading violation; audit committee to decide action against senior sales VP, share price in green

Awfis Space Solutions has reported a violation of insider trading regulations involving a senior executive. The company disclosed the issue in a regulatory filing to stock exchanges on November 27, 2024.

The violation concerns Anindita Seal Sarkar, Vice President of Sales. According to Awfis, she sold 15,764 shares of the company on September 30, 2024, after obtaining prior approval. However, on the same day, she also purchased 25 shares without seeking approval from the compliance officer, breaching the company’s Code of Conduct for the Prevention of Insider Trading.

Awfis Space Solutions share price history

Awfis Space Solutions' share price was trading in the green, up 1.01 per cent, at ₹728, on November 28, at 11:32, on BSE. Awfis Space Solutions enjoys a market capitalisation of ₹5,156.28 crore, as per BSE. Awfis Space Solutions stock price had last hit its 52-week high of ₹946 on August 22, 2024, as per NSE. Awfis Space Solutions' share price has moved over 70 per cent on a year-to-date (YTD) basis, as per NSE.

“The matter has been intimated to the Chairman of the Audit Committee and the Chairman of the Board,” the company stated in its filing. Awfis added that the Audit Committee will decide on the necessary actions in line with the Code of Conduct and regulatory requirements.

Awfis Space Solutions Ltd reported a 51.47 per cent year-on-year increase in revenue to ₹325.97 crore for Q2 FY 2024-25, with a 21.69 per cent growth compared to the previous quarter.

Net profit surged 988.97 per cent year-on-year to ₹38.67 crore, with a staggering 1286.02 per cent rise quarter-on-quarter. Net profit margins improved significantly, climbing 686.88 per cent year-on-year to 11.86 per cent, and 1039.02 per cent sequentially.

Awfis clarified that no previous violations have been recorded since the last financial year. The company emphasized that the Audit Committee will decide on the next course of action in accordance with its Code of Conduct requirements and regulatory obligations. As of now, no financial penalty has been imposed, nor has any action been taken against Sarkar.

The disclosure provides the following specifics about the trades:

Sell Transaction: 15,764 shares at ₹693.02 per share for ₹1,07,16,861.

Buy Transaction: 25 shares at ₹698.44 per share for ₹17,461.