Synopsis: Infra firm shares surged 9% after the company was discharged in long-pending CBI and ED/PMLA cases, enabling the release of assets worth Rs. 1,000+ crore and Rs. 900+ crore receivables, boosting the growth outlook.
The shares of the company are engaged in the business of manufacturing of Transmission & distribution of power products & services in India are in the spotlight after it rose by 9% in today’s session after it announced a major legal and corporate milestone.
With a market capitalisation of Rs. 9,142 cr, the shares of Diamond Power Infrastructure Ltd were trading at Rs. 173.50 per share, surging 9% in today’s market session, making a high of Rs. 184.80, up from its previous close of Rs. 169.80 per share.
What’s the News
Diamond Power Infrastructure Ltd has announced a major legal and corporate milestone. The company stated that it has been discharged in matters related to investigations initiated by the Central Bureau of Investigation (CBI) and the Enforcement Directorate (ED) under the Prevention of Money Laundering Act (PMLA), which began in 2018. A special court in Ahmedabad reportedly issued an order on 6 May 2026, formally discharging the company from charges under PMLA Sections 3 and 4.
According to the company, these proceedings had previously led to the attachment of significant assets, including fixed assets worth over Rs. 1,000 crore and receivables of around Rs. 900 crore, along with assets of its subsidiary, Diamond Power Transformers Limited. The legal actions had also impacted the company’s operational flexibility for several years due to restrictions on its assets.
It highlights that, following the takeover and revival process under the Insolvency and Bankruptcy Code (IBC), the new management pursued legal remedies, including discharge petitions and asset release applications across judicial forums. Earlier rulings from the Gujarat High Court had already quashed certain proceedings, and the latest trial court order is described as completing the company’s legal clearance in these matters.
With this discharge, the company claims that a major legal and financial overhang has been resolved, which is expected to improve its business outlook. It believes this development will allow better utilisation of its large asset base, improved access to working capital, and recovery of outstanding receivables, thereby strengthening its financial position.
The company also expects enhanced confidence from banks, customers, vendors, and institutional stakeholders. It plans to leverage this improved situation to secure working capital limits, bank guarantees, and participation in large domestic and international utility projects, which were previously constrained.
Additionally, it has outlined plans for operational expansion, including modernisation, debottlenecking, balancing equipment investments, and infrastructure upgrades to improve manufacturing efficiency and capacity utilisation across its plants in the power cables and conductors segment.
Diamond Power Infrastructure Ltd is an Indian company based in Gujarat that has been operating for over five decades in the power sector. It mainly manufactures power transmission and distribution products such as cables and conductors used in electricity networks
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