Limited downside seen in HDIL, says SP Tulsian

Limited downside is seen in HDIL, says SP Tulsian, sptulsian.com.

Tulsian told CNBC-TV18, “HDIL managements comforting words because the confirmation has come, they have officially intimated that they have sold about one percent of the equity. But my only worry is that this will give them about Rs 50-55 crore and he said that the substantial value will get added to the working of the company or maybe to the land bank. So is that Rs 50 crore substantial or whether that is a first tranche I don’t know because he has said that since the payment has fallen due that has to be funded, that means they were hard pressed even for Rs 50 crore.”
He further added, “One can look from both the angles that firstly the clarity has come in respect to because you start speculating whether there are any kind of pledged sells being made which will continue on a continuous basis by the lenders or are there any bankruptcy or are there any kind of regulatory moves by the authorities on their projects and all that so all those comes to a rest. But going forward I don’t think that further weakness is seen in fact I am seeing this as a comforting words from the management and seen favorable for the stock. It may not fall from hereon further.”