The Videocon saga continues: Stock nosedives 10%, gets locked in lower circuit again
Bearishness in the stock continued for the third day, following banks’ declaring the company’s debt as a non-performing asset. Dena Bank and Central Bank of India have declared the company as an NPA on their books.
May 26, 2017 / 09:41 AM IST
The Bombay Stock Exchange (BSE) building is illuminated during a special "muhurat" trading session for Diwali, the festival of lights, in Mumbai, India, November 11, 2015. Stock markets opened on Wednesday for a special one-hour Diwali holiday session. REUTERS/Shailesh Andrade
Videocon Industries continued to nosedive for the third consecutive session as investors continued to dump the stock. The scrip hit its lower circuit again in the opening minutes.
Bearishness in the stock has continued following banks’ declaring the company’s debt as a non-performing asset. Dena Bank and Central Bank of India have declared the company as an NPA on their books.
The stock hit 10 percent lower circuit on Thursday after Central Bank of India declared the company as a non-performing asset in the first quarter of FY18.
Central Bank of India has one of the highest exposures to the consumer durables and oil company at Rs 2,700 crore.
The stock has eroded investors’ wealth by over half, posting a fall of 52 percent in the past one month, while its three-day loss stood at 27 percent. At 09:36 hrs, Videocon Industries was quoting at Rs 47.30, down Rs 5.25, or 9.99 percent on the BSE. It touched a 52-week low of Rs 47.30.