A US jury in South Carolina has ruled in August that Sterlite Technologies’ US subsidiary misused trade secrets that belonged to its Italian rival Prysmian.
The case claimed that Stephen Szymanski, a former Prysmian executive, breached non-compete and confidentiality agreements by sharing Prysmian’s confidential information with Sterlite, giving it an unfair advantage.
Sterlite Tech has been ordered to pay $96.5 million or ₹810 crore in damages to Prysmian, for this misappropriation, according to the order.
The company intends to file an appeal and the ultimate financial implications, if any, will be assessed on the final resolution of the matter.
If withheld, the penalty amount of nearly ₹810 crore, amounts to 15.5% of Sterlite Tech’s overall market capitalisation, which currently stands at over ₹5,200 crore.
Shares of Sterlite Technologies are trading 6.4% lower on Monday at ₹107.45. The stock is also down a similar quantum on a year-to-date basis.
