From IT to FMCG: 5 Stocks Update Middle East Exposure Amid Escalating Conflict

SYNOPSIS: Amid escalating Iran-Israel tensions, several companies clarified their Middle East exposure. Stocks moved sharply as firms addressed supply chain risks, gas restrictions, export disruptions, and operational impacts linked to the geopolitical situation.

The Iran-Israel-US conflict has now entered its 12th day, with geopolitical tensions in the Middle East continuing to escalate. As the situation unfolds, sectors that are closely linked to energy prices, global shipping routes, and Middle East supply chains are drawing increased market attention.

Against this backdrop, several companies have issued clarifications regarding their exposure to the Middle East region. Below is a closer look at a few stocks that witnessed notable movements in their share prices during Thursday’s trading session on 12th March following these disclosures.

Infobeans Technologies Limited

With a market cap of Rs. 1,282 crores, the stock hit an intraday low at Rs. 127.6 on BSE, down by around 6 percent on Thursday, as against its previous closing price of Rs. 135.3. Infobeans Technologies Limited is primarily engaged in software development services, specialising in business application development for web and mobile and operates at Capability Maturity Model Integration (CMMI) level 5.

As per the latest disclosure, InfoBeans Technologies Limited has provided an update regarding the potential implications of the ongoing geopolitical developments in the Middle East arising from the Iran-Israel conflict.

The company indicated that the impact of the current geopolitical situation is expected to be neutral to mildly cautious, given its relatively limited exposure to the Middle East region.

InfoBeans currently operates in the Middle East through its regional office in Dubai, UAE, which primarily supports business development in the region. At present, the MENA region contributes around 7-8 percent of the company’s consolidated revenue, while its core markets remain the US and Europe, which together account for nearly 87 percent of total revenue. The company also clarified that it does not have any offices, employees, or operational presence in Israel.

As of now, the company stated that no material impact has been observed on its operations, service delivery, or client engagements. However, it noted that if the regional conflict continues or escalates further, it could potentially lead to delays in client decision-making or project timelines within the Middle East region. Nonetheless, given the company’s diversified geographic revenue mix, any overall financial impact on the consolidated business is expected to remain limited and manageable.

Precision Wires India Limited

With a market cap of Rs. 5,901 crores, the stock hit an intraday low at Rs. 314.2 on BSE, down by over 8 percent on Thursday, as against its previous closing price of Rs. 342.95. Precision Wires India Limited is engaged in the manufacturing of enamelled round and rectangular copper winding wires, continuously transposed Conductors (CTC) and paper/mica/Nomex insulated copper conductors (PICC), which are used by the electrical/electronics industries.

As per the latest disclosure, Precision Wires India Limited stated that the escalating conflict in the Middle East has begun to affect certain domestic and international suppliers associated with its operations. As a result, the company is witnessing increasing inflationary pressures across its supply chain.

The company also indicated that export consignments to the Middle East have been impacted due to the evolving situation. In response, it is re-routing shipments and arranging alternative logistics channels.

However, the company noted that these adjustments may lead to higher shipping costs and longer delivery timelines. While Precision Wires is actively monitoring the situation and taking steps to mitigate potential disruptions, it cautioned that unforeseen developments and unavoidable circumstances could lead to short-term fluctuations in input costs and availability.

Gopal Snacks Limited

With a market cap of Rs. 3,645.3 crores, the stock hit an intraday high at Rs. 300.05 on BSE, up by over 7 percent on Thursday, as against its previous closing price of Rs. 281.3. Gopal Snacks Limited, a leading FMCG company in India renowned for its highquality snack products, is engaged in the business of manufacturing various types of ready-to-eat namkeens, snack pallets, corn products, potato chips, papad, besan, spices, etc. 

As per the latest disclosure, Gopal Snacks Limited has provided a business update regarding the recent gas supply restrictions announced by the Government of India. The government has issued a notification limiting the use of gas for commercial purposes due to ongoing tensions in the Middle East, with priority being given to domestic consumption.

The company clarified that it has already implemented alternative fuel arrangements, including the use of bio-coal at its Modasa and Nagpur manufacturing facilities. As a result, both plants continue to operate normally, and the company does not expect any disruption to its production activities.

Gopal Snacks also highlighted that it has been proactively focusing on diversifying its energy sources by adopting alternative fuels. This approach is aimed at improving cost efficiency and reducing dependence on a single fuel source, helping the company manage potential supply disruptions more effectively.

The Modasa and Nagpur facilities, which are key to the company’s manufacturing operations, are currently functioning smoothly and remain capable of meeting existing and future production requirements, ensuring that customer deliveries continue without delays.

Kothari Petrochemicals Limited

With a market cap of Rs. 659 crores, the stock hit an intraday high at Rs. 113 on NSE, up by over 1 percent on Thursday, as against its previous closing price of Rs. 111.67.

According to the latest disclosure filed, Kothari Petrochemicals Limited has informed about a force majeure situation arising from the ongoing geopolitical tensions in the Middle East, which have led to restrictions in gas supply. In response to the situation, the Ministry of Petroleum and Natural Gas, Government of India, has issued a directive instructing refineries to prioritise supplies for domestic LPG requirements and suspend feedstock supplies to downstream industries. As a result, the availability of raw materials for the company has become constrained.

Given these circumstances, the company has notified its industrial customers about restrictions in the contracted supply quantities, in line with the provisions outlined in its existing agreements.

Kothari Petrochemicals further stated that the overall impact of the force majeure situation cannot be determined at this stage, as the situation continues to evolve. The company is closely monitoring developments and will provide further updates if there are any material impacts on its operations.

Somany Ceramics Limited

With a market cap of Rs. 1,570 crores, the stock hit an intraday high at Rs. 384.25 on BSE, up by over 4 percent on Thursday, as against its previous closing price of Rs. 367.9. Somany Ceramics Limited is a manufacturer and trader of complete decor solutions, and its extensive range of products includes ceramic wall and floor tiles, polished vitrified tiles, glazed vitrified tiles, sanitaryware, bath fittings and allied products.

According to a communication received from GAIL (India) Limited, gas supply norms for industrial consumers have been revised due to the ongoing conflict in the Middle East and its impact on global energy markets. As per the updated supply regulations issued under the Ministry of Petroleum & Natural Gas notification dated 9th March 2026, gas supply to industrial consumers will be restricted to 80 percent of their average consumption over the past six months. Any usage beyond this limit will be billed as per the applicable contractual terms and conditions. These revised norms will come into effect from 12th March 2026 (06:00 hours).

In line with this directive, Somany Ceramics Limited stated that its manufacturing facility located at Kassar, Bahadurgarh in Haryana will receive restricted gas supplies. As a result, the company indicated that production operations at the plant may experience a partial impact. The company added that it is closely monitoring the situation and taking necessary steps to minimise any potential disruption.

Somany Ceramics further clarified that the exact impact of the restricted gas supply cannot be assessed at this stage. However, the company noted that its existing inventory levels remain adequate, allowing it to continue meeting supply commitments in the normal course of business. Based on the current assessment, the company believes the situation is unlikely to have a material impact on its overall operations at present.

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