63 Moons Share Price Hits Upper Circuit; Here’s Why

Shares of 63 Moons Technologies Limited hit the upper circuit following a significant announcement from the company’s board. The board approved its participation in the One-Time Settlement (OTS) Scheme proposed by the NSEL Investors Forum (NIF). This move is expected to address long-standing legal disputes and provide a structured approach to settlements.

Key Highlights of the Decision

In a regulatory filing dated February 18, 2025, 63 Moons Technologies disclosed that its board has agreed to support the Scheme of Arrangement between NSEL and Traders. This scheme will be filed before the National Company Law Tribunal (NCLT), Mumbai, which has been identified as the appropriate forum for addressing the settlement process.

The key aspects of this participation include:

• Closure of legal proceedings against the company as per the scheme’s provisions.
• Assignment of all claims and rights of NSEL traders to 63 Moons, enabling it to pursue recoveries from defaulters through decrees, liquidation of attached assets, or other means.

Key Aspects of the One-Time Settlement (OTS)

The approved ₹1,950 crore OTS is structured to address unpaid claims and bring financial closure to longstanding issues. The key elements include:

1. Closure of Specific Legal Cases
   • The settlement will result in the withdrawal of legal proceedings against 63 Moons Technologies and other related entities.
2. Recovery of Dues from Defaulters
   • The company will be assigned the rights and claims of the NSEL traders, allowing it to pursue recoveries from defaulters.
   • The process may involve legal decrees, liquidation of attached assets, or other judicial means to ensure the collection of pending dues.

Why Does This Matter?

The approval of this scheme could mark a turning point for 63 Moons, as it aims to resolve outstanding legal battles that have weighed on the company for years.

As of 3:09 PM on February 19, 2025, shares of 63 Moons Technologies are trading at ₹646.55.

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