On July 20, The share prices of Krsnaa Diagnostics tumbled over 11% after the Rajasthan government pulled back its tender to supply lab services under the National Health Mission.

The company said in an exchange filing that this was following the acceptance of a letter award from the National Health Mission (NHM), Rajasthan.

As a part of the tender specifications, there was a provision to provide additional performance security. Due to some technical difficulties, there was a conflict regarding the same.

In an exchange filing, the company said, “Whilst we have made various representations to the authorities on the same as well as communicated our willingness and commitment to execute the agreement. However, to our disappointment, the authorities cancelled the acceptance letter”.

The company further highlighted that the letter of acceptance’s cancellation does not affect their current business operations.

At 11:30 am, the share of Krsnaa Diagnostics was trading at Rs 467.90 or 12.38% below its previous close.