Treet Battery responds to PSX's inquiry, denies knowledge of cause behind share price surge

January 10, 2024 (MLN): Treet Battery Limited (PSX: TBL), in response to the local bourse's notice for the disclosure of material facts, has stated that it is not aware of any matter or development that may have resulted in the unusual movement in the market price of its shares, said a notice issued by the company today.

After sixteen consecutive trading sessions of upper caps, the Pakistan Stock Exchange (PSX) finally addressed this matter and asked TBL to disclose any price-sensitive information known to the company that has contributed to the unusual spike in its share price.

With today's session, the upper limit ride of the stock has extended to 18 straight sessions.

It is crucial to note that TBL made its debut on the PSX on December 15, 2023, at Rs10 per share, and as of January 10, 2024, the stock has surged to Rs38.52, marking an astounding 285.2% increase or a 3.85x rise in value.

This was already highlighted by Mettis Global News that this rapid escalation prompts questions about potential vulnerabilities in TBL's stock price.

Moreover, following this dramatic rise, TBL's market capitalization has surpassed that of its parent company, Treet Corporation Limited (PSX: TREET).

Although, PSX has noted that First Treet Manufacturing Modaraba (PSX: FTMM) had disseminated the financial statements and its CBS presentation on the financial performance of TBL on a stand-alone basis.

However, the price increase has been observed in TBL under the demerger of FTMM and the company must clarify its position and provide sufficient explanation regarding the significant and consistent surge in its share price since listing.

Copyright Mettis Link News