The Reliance Communications share price recovered on Wednesday following three-days of sharp fall after the Anil Ambani-led firm decided to opt for insolvency proceedings. The Reliance Communications share closed 0.74% higher at 5.48 level in trade today compared to the previous close of 5.44 on the BSE. The small cap stock hit a fresh 52-week low of 4.85-down 10.84%- in trade today after opening at 5.19 in early trade on BSE.
However, during the fag-end of the session it stock bounced back, rising 0.74 per cent to close at Rs 5.48.
On NSE, shares pared early decline and closed at Rs 5.65, up 1.80 per cent.
In terms of traded volume, 225.08 lakh shares changed hands on BSE and over 27 crore shares were traded on NSE.
The Reliance Communications share has lost 77.72% during the last one year and fallen 62% since the beginning of this year.
On Monday, RCom stock ended nearly 35 per cent lower and fell by another 28.5 per cent the next day after the company decided to opt for insolvency proceedings.
In three-days, shares fell by 53.70 per cent.
Group shares, Reliance Infrastructure and Reliance Capital still ended lower, plunging 32.22 per cent and 5.52 per cent, respectively, in trade today.
"RCom board of directors decides upon implementation of debt resolution plans through NCLT framework," the company had said in a statement on February 1.
It is estimated that RCom has been reeling under a debt of over Rs 46,000 crore.
On February 1, RCom's board reviewed the progress of the company's debt resolution plans since the invocation of strategic debt resolution on June 2, 2017.
The board noted that despite the passage of over 18 months, lenders have received zero proceeds from the proposed asset monetisation plans, and the overall debt resolution process is yet to make any headway, the statement said.
"Accordingly, the board decided that the company will seek fast-track resolution through NCLT, Mumbai. The board believes this course of action will be in the best interests of all stakeholders, ensuring comprehensive debt resolution in a final, transparent and time bound manner within the prescribed 270 days," the statement said.
Meanwhile, the Sensex and Nifty closed higher today. While the Sensex rose 358 points to 36,975, the Nifty gained 128 points higher to 11,062.
Edited by Aseem Thapliyal