With favorable ruling from the Bombay High Court, Shares of Nestle India surged nearly 6%. In the company’s challenge to Maggi ban by the food regulators, the court ruling was favorable.

The court wanted justification for the Maggi ban from the Food Safety and Standards Authority of India. Fresh tests of maggi samples were ordered at certain court-chosen laboratories. Earlier, food regulators in India banned Nestle’s popular snack maggi for containing lead in more than permissible levels.

Nestle will be able to get maggi back to Indian shelves if those tests are cleared, according the lawyers involved in the case.

In a statement to the Bombay Stock Exchange, Nestle India said, "The writ petition has been allowed and both ban orders have been set aside. Manufacture and sale of Maggi noodles is subject to certain conditions which will be informed after the judgement is received.”

Big relief for Nestle India

Nestle India sees the court order as a big relief as they find a trigger in buying streak of Nestle India shares. The relief came after Nestle suffered withdrawal of all varieties of Maggi noodles in June. Maggi was banned by the Food Safety Standards Authority of India or FSSAI, ruling it "unsafe and hazardous".

Also read: Nestle India Glides Into Loss Due To Maggi Ban

-Sumana