Housing Development and Infrastructure (HDIL) share price rallied 5.2 percent intraday Friday after part payment made by the company to Andhra Bank.
Andhra Bank has withdrawn its insolvency application from the National Company Law Tribunal (NCLT) against HDIL as the realty firm has decided to settle outstanding dues.
"The company has proceeded for settlement of its balance outstanding dues and has made part payment of its balance dues. The application stands withdrawn from NCLT by Andhra Bank," HDIL said in a BSE filing.
The Mumbai-based developer did not disclose the amount it has paid and the dues still owed to the bank.
HDIL reported 64 percent increase in consolidated net profit at Rs 60.87 crore for the quarter ended September 2017, as against Rs 37.03 crore in the year-ago period.
Total income, however, fell to Rs 163.07 crore in the second quarter of the current fiscal, from Rs 223.26 crore a year ago.
Profit rose sharply as the company reported tax benefits of Rs 44.5 crore during the July-September quarter of the current fiscal.
At 15:02 hours IST, the stock price was quoting at Rs 58.95, up Rs 1.70, or 2.97 percent on the BSE. (With inputs from PTI)