Mumbai-based real estate firm Housing Development and Infrastructure (HDIL) plunged 23 percent in four consecutive sessions to touch a new 52-week low of Rs 52.20 on Wednesday.
The rating assigned to HDIL's tranche I (Rs 227.87 crore) and tranche II (Rs 1,667.5 crore) non-convertible debentures (NCDs) has been revised downwards from BBB+ to D by CARE.
D rating indicates that instruments are in default or going to default soon.
This revision has been done on account of the ongoing delays in servicing the NCD obligations. CARE has also cut the rating of the company's Rs 200 crore short term non convertible debentures from AS+ to D.
The stock has fallen 57 percent since January 21 when promoter Sarang Wadhawan offloaded partial stake in the company. He sold 50 lakh shares of the company to raise Rs 57 crore to acquire 15 acres land parcel of NTC Digvijay Mills at Lalbaug near Chinchpokli.
The land parcel was originally held by Byramjee Jeejeebhoy (BJPL) and was given to NTC on a 99 years lease that expired in 1999.
Company's standalone debt stood at Rs 3,466 crore as of December 2012 while consolidated debt was approximately Rs 4,000 crore. Its standalone debt came down by merely Rs 200 crore in December quarter. The management had assured that debt will decline further by Rs 200 crore on account of Metropolis sale in Q4.
At 11:08 hours IST, shares crashed 12.42 percent to Rs 53.25 amid large volumes on Bombay Stock Exchange.
Trading volumes were more than doubled to 79,87,679 shares as compared to its five-day average of 33,31,425 shares.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
Find the best of Al News in one place, specially curated for you every weekend.
Stay on top of the latest tech trends and biggest startup news.
