Punj Lloyd down 3% after IFC moves insolvency plea against co

Share price of Punj Lloyd fell nearly 3 percent intraday Friday after International Finance Corporation (IFC) moved an insolvency plea against company before the National Company Law Tribunal (NCLT).

International Finance Corporation (IFC) has filed an application before the National Company Law Tribunal (NCLT) under Section 7 of the Insolvency and Bankruptcy Code.

A two-member principal bench headed by President Justice M M Kumar has issued notices to Punj Lloyd and Punj Lloyd Upstream.

The tribunal has directed both the petitions to list on October 9, when it would hear similar matter in which leading private sector lender ICICI Bank has filed insolvency plea against Punj Lloyd.

IFC is seeking recovery of USD 30 million defaulted by Punj Lloyd.

Earlier in June, ICICI Bank had approached NCLT to recover Rs 830 crore of outstanding loans to Punj Lloyd.

The company would suitably respond to the same in due course.

At 13:27 hrs Punj Lloyd was quoting at Rs 9.20, down Rs 0.07, or 0.76 percent on the BSE.

Share price declined 64 percent in the last 9 months.