Dewan Housing Finance Corporation Ltd Stock Price extended declines for the fifth consecutive trading session. The stock hit a lower circuit of 10 percent at Rs 21.15.
Of the shares traded, 72 percent were at the ask price and 21 percent were at the bid, according to Bloomberg data. The Relative Strength Index was below 30, indicating that the stock may be oversold. The scrip has declined 93 percent in the past 12 months compared to a 12 percent gain in the Sensex.
Shares of Dewan Housing Finance Corporation (DHFL) fell over nine percent to touch a fresh 52-week low of Rs 23.65 on the BSE on October 10, extending its losing spree for the fourth consecutive session.
The stock has been falling on reports that its lenders are approaching the courts to recover their dues.
Edelweiss Asset Management has approached the Bombay High Court to recover its dues of around Rs 70 crore after Reliance Nippon Life Asset Management had approached the courts against the stressed home financier, reports The Economic Times.
Edelweiss AMC is seeking appointment of a court receiver and disclosure of all assets of DHFL, the report added.
A couple of days ago, Central Depository Services (CDSL) had frozen the promoter shareholding of the debt-ridden mortgage lender due to delay in the announcement of the company’s financial earnings.
A meeting of the company’s board of directors is scheduled to for October 17 to consider and approve its un-audited financial results for Q1 and Q2, along with limited review report by the statutory auditors.
Shares of DHFL traded 8.25 percent down at Rs 23.90 on BSE around 1015 hours IST.
