No financial impact from I-T search, says Coffee Day Enterprises

BENGALURU: The Coffee Day Enterprises on Monday informed the stock exchanges that the search operations conducted by the Income Tax authorities have not yielded anything that will have significant financial impact on the company.

In a clarification to the exchanges, the company said that the Income Tax department conducted a search/survey under section 132/133A of the Income Tax Act on the company and its subsidiaries from Sep 21 to Sep 24.

"...We have extended full cooperation to the Income Tax authorities. Further, we submit that there is no information discovered which would have a significant impact on the financial position of Coffee Day Enterprises and its subsidiaries."

The company also said the company will inform the exchanges if were to come across information that may have material impact in nature.

The Coffee Day Enterprises scrip closed 8% down at Rs 212.45 on the BSE on a day when Sensex shed about 1%.

The Coffee Day group is promoted by first-generation entrepreneur V.G.Siddhartha. He is also the son-in-law of senior political leader and former Chief Minister S M Krishna.