The share price of Parle Industries hit an upper circuit on the bourses. And it had nothing to do with the company.
Prime Minister Narendra Modi met Italian PM Giorgia Meloni and shared a packet of Melody candy with her. As a result, close on the heels of the video becoming viral on social media, the share price of Parle Industries shot up. This is because investors got confused between Parle Industries and Parle Products.
Parle Vs Parle: One listed, one not listed
The unlisted Parle Products is the FMCG giant behind iconic brands like Parle-G, Melody, Hide & Seek, and Monaco. It is a privately held company and is not listed on any stock exchange.
On the other hand, Parle Industries is in the business of infrastructure and real estate development. It is also involved in the trading of paper, paper waste, and allied recycling products. This firm is not associated with Parle Products, the producer of Melody toffees and Parle-G biscuits.
Viral video sparks Dalal Street frenzy
The rally was triggered by a viral video shared by Meloni on social media while Modi was visiting Italy. In the clip, Meloni remarks, “Prime Minister Modi gifted a very, very good toffee.”
In just a few hours, the excitement on social media transferred to Dalal Street, leading investors to flock to the shares of the company with a similar name.
Parle Products previously made headlines on IPO plans
Earlier, Parle Products had drawn interest from investors due to rumours of a possible IPO. Later on, though, the company stressed that there was “nothing as of now” about any intentions for a public offering.
The most recent episode demonstrates once more how sharp movements in lesser-known companies can be triggered by viral social media moments and uncertainty surrounding company names, particularly among retail investors chasing momentum.
Parle Industries’ share price performance
Though the Parle Industries shares are locked in the upper circuit today, the shares have declined over 45% in the last 6 months. Parle Industries’ stock has lost 68% value over the last one year.
