Seshasayee Paper sinks 12% as TN govt restricts drawal of water from Cauvery river
Tamil Nadu government restricted company for drawing water from Cauvery river
Seshasayee Paper and Boards share price fell nearly 12 percent intraday Tuesday after Tamil Nadu government restricted company for drawing water from Cauvery river.
"Due to severe drought conditions and drying of perennial rivers prevailing in Tamil Nadu, the District Revenue officials have advised us to restrict drawal of water from river Cauvery for drinking water purposes only," the company said in its filing.
Seshasayee has appealed to the Revenue officials to permit minimum quantity of water to maintain safe working conditions.
"Steps have been taken to step-up ground water resource. Meantime partial production is maintained," the company said.
At 14:56 hours IST, the stock was quoting at Rs 714, down Rs 82.30, or 10.34 percent amid high volumes on the BSE.Posted by Sunil Shankar Matkar