NBCC Share Price Ends 2-Day Gains on May 20, Down Over 2%; Know What’s Driving the Fall?

NBCC (India) Ltd shares traded lower at ₹112.90, marking a decline of 2.62% or ₹3.04 at 11:45 am on the NSE from the previous close of ₹115.94. The stock opened on a positive note at ₹116.48, matching its intraday high, but later slipped to a low of ₹112.04 amid selling pressure.

The volume-weighted average price (VWAP) stood at ₹113.29, reflecting intraday volatility. Currently, NBCC trades well below its 52-week high of ₹139.90, though still significantly above the 52-week low of ₹70.82.

NBCC Submits Resolution Plan for RED Mall, Ghaziabad

On May 17, 2025, Navratna PSU NBCC (India) Ltd announced that it has submitted a resolution plan as part of the Corporate Insolvency Resolution Process (CIRP) for Celebration City Projects Private Limited, the developer behind RED Mall in Ghaziabad. The company shared the update through a formal communication to stock exchanges, marking its active participation in urban redevelopment and resolution projects.

NBCC Forms Wholly-Owned Subsidiary in Dubai

In a separate development, NBCC informed the NSE and BSE on May 16, 2025, post-market hours, about the incorporation of a new international subsidiary NBCC Overseas Real Estate LLC in Dubai Mainland, UAE. This marks a significant step in the company's global expansion strategy, focusing on real estate development in overseas markets.

Dubai Subsidiary Aimed at Real Estate Operations

According to the official statement, the newly incorporated entity in Dubai will focus on buying and selling real estate in the region. The move aligns with NBCC's strategic vision to enter and explore real estate markets outside India, particularly in high-growth zones like the UAE.

Regulatory Approval Status for Dubai Expansion

While NBCC has received approval from the Department of Investment and Public Asset Management (DIPAM) through an Office Memorandum dated February 24, 2025, the company is still awaiting clearance from the Reserve Bank of India (RBI) under the Overseas Direct Investment (ODI) norms. The final nod from RBI is essential for the operationalization of the new subsidiary.

Read More: Vodafone Idea Shares Fall for 2nd Straight Day on May 20 Amid AGR Dues Setback.

Conclusion

NBCC’s recent share decline reflects short-term market reactions, possibly driven by profit booking and cautious investor sentiment following recent gains. However, the company’s proactive steps such as participating in high-profile insolvency resolutions like RED Mall and expanding internationally with a new Dubai-based subsidiary highlight its long-term strategic ambitions. Investors may consider tracking these initiatives closely as they could influence the company’s growth trajectory going forward.

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