The story
One of the most significant trading blunders in India’s recent stock market history was triggered by a misconfigured “phantom order” with the Clean Science share, according to Bloomberg.
The unusual event took place in Mumbai, India’s financial capital and largest city, with a population of around 20 million. On the morning of August 21, traders at Spark Institutional Equities Pvt. Ltd. uploaded data to execute a sale of 24% of Clean Science share on behalf of the company’s founding family, valued at approximately $300 million.
The sale of this stake was intended to reduce the family’s holdings just enough to retain a controlling interest. However, the initial data upload didn’t reflect in the system, prompting traders to resubmit the order.
It turned out that the first order had actually been accepted, resulting in the sale of 56% of Clean Science share—worth ₹65.4 billion ($749 million)—within the first four minutes of trading. This temporarily stripped the founders of their controlling stake, which they had held for over 20 years.
Spark Institutional Equities reacted swiftly to correct the error, managing to repurchase 30% of Clean Science share at nearly the original price, minimizing financial damage.
The price of Clean Science share experienced dramatic swings in a short period—dropping 9.3%, surging 17%, and then falling 2.7%.
Financial experts have since emphasized the need for tighter oversight of large securities transactions in India.
Spark Institutional Equities informed the sellers—whose order they were executing—shortly after the market opened, stating they had successfully repurchased the mistakenly sold Clean Science share.
According to Bloomberg sources, the founding family is not expected to incur any financial losses.
About the company
Incorporated in 2003, Clean Science and Technology Ltd is one of the leading chemical manufacturers globally. It manufactures functionally critical specialty chemicals such as Performance Chemicals (MEHQ, BHA, and AP), Pharmaceutical Intermediates (Guaiacol and DCC), and FMCG Chemicals (4-MAP and Anisole).
Performance Before the Trading Error
Prior to the erroneous block trade on August 21, 2025, Clean Science & Technology Ltd. had demonstrated stable but modest growth. Over the past year, the stock delivered a 4.1% annual return, with stronger momentum in the short term — 27.6% over three months and 4.7% over six months. The company reported quarterly revenue growth of 31.5% and maintained a healthy profit margin of 29.1%, reflecting strong operational efficiency.
The stock traded within a 52-week range of ₹1,070.50 to ₹1,643.95, with a market capitalization of approximately ₹14,386 crore as of late August. Prior to the error, Clean Science share was considered a mid-cap performer in the specialty chemicals sector, known for its niche in green chemistry and high-purity products.
Near- to Mid-Term Outlook
Despite the temporary disruption caused by the mistaken sale of 56% of the company’s equity, analysts remain cautiously optimistic about Clean Science share. The consensus price target among leading brokerages is ₹1,520, suggesting an upside of 30% from the current price of ₹1,169.10.
Technical indicators show the stock is currently trading below key moving averages, with bearish momentum in the short term. However, support levels are holding near ₹1,128, and resistance is expected around ₹1,280–₹1,300.
Key drivers for future performance include:
- Continued demand for specialty chemicals in pharmaceuticals and electronics
- Expansion into export markets
- Strong margins and low debt levels
- Recovery of investor confidence following the trading error
Analyst Sentiment
While some brokers have downgraded the stock to “Hold” due to short-term volatility, others maintain a “Buy” rating with targets as high as ₹1,665. The upcoming dividend of ₹4.00 per share, scheduled for September 4, 2025, may also support investor sentiment2
Final thoughts
Clean Science & Technology Ltd. has shown resilience and strong fundamentals despite the recent trading error, with solid revenue growth and healthy margins reinforcing its long-term potential. While short-term volatility may persist, analyst sentiment and technical indicators suggest a recovery path supported by sector demand and investor confidence. The stock remains a compelling watch for those seeking stability and innovation in the specialty chemicals space.
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