Gensol Engineering shares rise 16% from day's low, here's why 

Shares of Gensol Engineering Ltd recovered 16% from day's low on Friday after the firm said its board has approved the approved the resignation of its Chief Financial Officer (CFO) Ankit Jain, with effect from March 6, 2025. The company announced the re-appointment of Jabirmahendi Aga as its new Chief Financial Officer (CFO), effective immediately.

The resignation and appointment of the new CFO comes after CARE Ratings downgraded the company to 'default' amid ongoing delays in servicing its term loan obligations, and cited 'falsification' of data, an allegation that the EPC player has denied being involved with and is currently probing.

Another rating agency ICRA too downgraded its rating for Gensol Engineering.

The stock has fallen nearly 40% this week.

In the current session, the renewable energy stock rose 16% to Rs 352.90 against a low of Rs 303 on BSE.

However, profit-booking took the stock back to the red zone.

At 2:00 pm today, the stock was trading 3.53% lower at Rs 323.50 against the previous close of Rs 335.35 on BSE. Market cap of the firm slipped to Rs 1,227.48 crore. Total 6.75 lakh shares changed hands amounting to a turnover of Rs 22.08 crore on BSE.

Aga has played various roles within the Gensol Group in corporate finance, risk management, investor relations and other roles, the company said.

Earlier this week, credit ratings agency CARE Ratings downgraded the company’s long-term and short-term bank facilities due to delays in servicing its term loan obligations. ICRA too downgraded its credit rating for Gensol Engineering.

Long-term bank facilities of the company worth Rs 639.70 crore have been downgraded to CARE D from CARE BB+; stable.

Similarly, ratings for long term/ short term bank facilities worth Rs 76.30 have been lowered to CARE D/CARE D from CARE BB+; Stable/CARE A4+, said Gensol Engineering.

"CARE Ratings Limited has revised the ratings assigned to the bank facilities of Gensol Engineering Limited (GEL) on account of on-going delays in the servicing of term loan obligation as per feedback from its lenders. The rating action is in line with CARE’s policy on default recognition," said the firm.

Gensol Engineering is a part of the Gensol group of companies, which offers engineering, procurement, and construction (EPC) services for the development of solar power plants.