Share price of Future Lifestyle hit a new 52-week low of Rs 74.1 today, declining for the fourth straight session. The stock has erased 19.4% value during the period and traded with high volatility today.
Future Lifestyle stock opened with a loss of 4.5% at Rs 78.60 and later touched a new 52 week low of Rs 74.1, falling 9.96% on BSE.
Future Lifestyle stock currently trades lower than 5, 20, 50, 100 and 200-day moving averages. Market capitalisation of the stock stood at Rs 1,495.15 crore as of today's session.
Future Lifestyle shares have lost 17% in one week, 30% in one month and 81% since the beginning of the year.
Last week, credit rating agency CRISIL downgraded the ratings for its long-term bank facilities to CRISIL BBB- (continues on 'rating watch with negative implications'). The rating has been revised from CRISIL A+/Stable.
This was on account of the stretched liquidity position of the company due to slower than expected ramp-up in-store revenues, non-availability of additional credit lines due to COVID and increasing company's dependence on the restructuring of its debt repayments, as per the brokerage.
The stocks of Future Group have witnessed selling pressure since news that US online retailer Amazon.com Inc has slapped a legal notice on Future Group, its Rs 24,713 crore asset sale to the Mukesh Ambani-led conglomerate Reliance Retail.
The e-commerce giant alleged that the retailer's Rs 24,713-crore asset sale to Reliance Industries violated an agreement with the Amazon.
Earlier in 2019, Amazon had bought a 49% stake in one of Future's firms, Future Coupons Ltd, with the right to buy into flagship Future Retail after a period between 3 and 10 years. Future Coupons owns 7.3% stake in Future Retail.
Mukesh Ambani-led Reliance decided to buy Future Retail and some other businesses of Future Group in August this year.
Although Amazon's investment came with contractual rights that include a right of first refusal and a non-compete-like pact, ET Now reported.