On June 23, HBL Power Systems shares traded 3% lower in a knee-jerk reaction after its board of directors would deliberate a slump sale proposal at its June 28 meeting.

The suggestion of slump sale is for two product lines – Power Electronics and Integrated Power Supplies for the railways – to Moebius Power Electronics, Hyderabad, wherein HBL Power System will remain a shareholder.
At 9:34 am, the stock was trading 2.7% down at Rs 145.65 on the BSE.

The stock rose over 40% in a month and 75% in the year. In the three years, the stock spiralled close to 800%. From Rs 7 in 2013, it climbed to Rs 150 today.

The company clarified that the products being considered for slump sale have nothing to do with the ‘Kavach Train Collision Avoidance System or the signalling product of HBL Power Systems.

After the Odisha train accident, the company highlighted HBL Power Systems and Medha Servo Drives. Kernex Microsystems has advanced the Kavach system with the Research Design and Standards Organisation of the Indian Railways.

HBL Power Systems is the foremost manufacturer of batteries, electronics and engineering products based on in-house developed technologies.