Shares of fruit juice maker Manpasand Beverages plunged 20 per cent today after its statutory auditor Deloitte Haskins & Sells resigned ahead of a board meeting scheduled on May 30 for consideration of financial results.
The stock of SAIF Partners-backed Manpasand Beverages hit the lower circuit and closed at Rs 344.80 apiece on BSE today.
Yesterday, the company informed stock exchanges that Deloitte Haskins & Sells had quit as its statutory auditor with effect from May 26, 2018.
Due to sudden resignation of existing auditors, the business to be transacted at board meeting scheduled on May 30 has been cancelled, it added.
In a regulatory filing today, without disclosing reasons for the exit of Deloitte Haskins & Sells, the Vadodara-based firm said, "We want to take this opportunity to assure everyone that the decision has been taken by the management after due consultations and it is in the best interests of our shareholders."
Manpasand Beverages claimed everything related to financial results announcement and the timing of departure of its auditor "is purely coincidental has no direct correlation".
"The board meeting has been postponed and the new date will be announced shortly," it added.
Manpasand Beverages said this is just a minor hiccup and doesn't represent any long-term business impact.
Deloitte Haskins and Sells LLP, was also the auditor of cash-strapped Fortis Healthcare and had allegedly refused to sign off on the company's second-quarter results until at least USD 78 million (Rs 500 crore) funds taken its promoters Singh bothers were accounted for or returned.
The healthcare chain, however, had refuted these allegations.
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