Protean Share Price: E-Governance Solution Provider’s Stock Gains After Declining Over 31 Per Cent In Two Sessions

Protean Share Price: Shares of Protean eGov Technologies Ltd surged over 3 per cent to an intraday high of Rs 1084 piece on the NSE on May 21. The stock gained after declining over 31 per cent in the last two sessions to its 52-week low of Rs 981.1 apiece on May 20.

Why Are Protean eGov Technologies Shares Gaining

At the day-high, the stock bounced back over 10 per cent from its 52-week low level. The stock gained in today’s trade ahead of the declaration of the company’s results for the quarter and fiscal ended March 31, 2025. Additionally, the company also issued a clarification regarding the impact of the Income Tax department’s rejection of the company’s bid for a key project involving the revamping of core systems.

In its clarification issued on May 20 after the market closed, Protean eGov Technologies informed the exchanges that it disclosed that its bid was rejected by the Income Tax Department on May 18 via regulatory filing. Notably, the Income Tax Department had invited proposals under the PAN 2.0 RFP for the selection of Managed Service Provider (MSP) to carry out a revamping of the Income Tax Department’s core systems.

“.. for Design, Development, Implementation, Operations and Maintenance to carry out the core technology revamp of ITD systems. These systems handle the allotment, update, and correction of PAN data and are currently operated directly by ITD. The PAN 2.0 RFP document envisages an implementation timeline of 18 months from the date of allotment,” the company said.

Protean eGov Technologies added that it already has a mandate from the Income Tax department. The company has a mandate to issue and process PAN cards. The company added that since it handles the processing and issuance of PAN cards, the recent rejection has limited or minimal impact on its ongoing operations.

“Whereas our existing mandate from ITD, received in 2003, covers the processing and issuance of PAN cards. This primarily involves collecting applicant data — whether for new PAN cards or updates — and securely transmitting that information to the ITD. Therefore, this appears to have limited or minimal impact on our ongoing PAN processing and issuance services under the existing mandate from ITD,” the company said.

Why Did Protean eGov Technologies Shares Decline

Protean eGov Technologies shares declined on May 20 as D-street reacted to the exclusion of the company from the PAN RFP 2.0 by the Income Tax department. Additionally, a key shareholder of the company also pared its stake via block deals.

According to a report by CNBC TV-18, the Massachusetts Institute of Technology sold 4.02 lakh shares of Protean eGov Technologies on May 20 via bulk deals. As per the report, 0.99 per cent of the company’s total outstanding equity traded hands in the deal. Notably, MIT’s name is not shown in the March quarter shareholding data of the company as they held less than 1 per cent stake.

Protean eGov Technologies Share Price History

In a month shares of Protean eGov Technologies have declined nearly 26 per cent and in five days the stock has fallen over 21 per cent.

At the time of writing shares of Protean eGov Technologies traded at Rs 1,078 apiece up by 2.82 per cent on the NSE.