Brainbees Shares Drop 5% After GST Department Launches Probe

Shares of Brainbees Solutions, the parent entity of kidswear retailer FirstCry, dipped over 5% today (November 7), following news that the Mumbai GST department has launched an investigation into the company’s tax practices.

At 3 PM, the company’s shares were trading at INR 592.85 apiece, 5.26% lower than yesterday’s price. 

In a filing, Brainbees Solutions confirmed that officials from the Mumbai state tax office conducted a search and inspection on November 6 at its Pune headquarters and a warehouse in Maharashtra’s Bhamboli. 

The company stated that the investigation was carried out under sections 67(1) and 67(2) of the Maharashtra GST Act, 2017.

Brainbees assured investors that it is fully cooperating with the GST authorities, providing necessary clarifications, and that the company’s operations remain unaffected by the ongoing probe. 

Source : https://inc42.com/buzz/brainbees-shares-drop-5-after-gst-department-launches-probe/