VRL Logistics shares hit 52-week low, fall 40% in two days

Continuing its downtrend for the second straight session on Wednesday, shares of VRL Logistics plunged nearly 20 per cent intraday amid worries over its promoters' proposed investment in regional airline venture and its impact on the firm's balance sheet.

The stock nosedived as much as 19.7 per cent to Rs 253, its 52-week low level, on BSE. However, the scrip settled the day 12.58 per cent lower.

On NSE, it tanked 20 per cent to hit one-year low of Rs 251.80, and ended 12.44 per cent down.

VRL Logistics' promoters said on Tuesday that the proposed regional airline venture would be a "personal investment" of Rs 1,400 crore and would not impact the firm's balance sheet.

In a release, the company's Chairman Vijay Sankeshwar also emphasised that he would primarily play the role of a financial sponsor for the planned airline business.

The clarification came against the backdrop of shares of VRL Logistics tumbling 18 per cent to close at Rs 315.10 on the BSE yesterday.

"I wish to clarify that the proposed entry into airline business is a personal investment and at no point do we anticipate VRL's balance sheet being used for the venture," Sankeshwar said in a release submitted by the company to the stock exchanges.