DHFL gains over 7% ahead of meeting with lenders to discuss draft resolution plan
BusinessToday.In September 25, 2019
Shares of Dewan Housing Finance Corporation (DHFL) gained nearly 9% intraday on Wednesday, ahead of the company's meeting with its lenders to discuss the draft resolution plan.
Today, the stock rallied 9.58% and touched an intraday high of Rs 49.2 on BSE. The DHFL stock has gained over 12% in the last 2 trading sessions.
On September 24, the cash-strapped mortgage lender informed the bourses that it is undertaking extensive discussions with banks for its ongoing proposal on debt restructuring and formulation of a resolution plan, under the 'RBI's Prudential Framework for Resolution of Stressed Assets'.
DHFL, in a regulatory filing, stated, "Company will be holding a meeting on Wednesday, 25th September 2019 with its bank lenders to discuss the draft resolution plan."
"A further meeting will also be held on September 27 by the company with all its institutional creditors in connection with the draft resolution Plan," the company said in a BSE filing on September 24.
"A further meeting will also be held on Friday, September 27, 2019, by the company with all its institutional creditors in connection with the draft resolution plan," it said.
As of March 2019, DHFL had total borrowings (other than debt securities) of Rs 40,604 cr, including term loans from banks aggregating Rs 31,759 cr.
At close, the stock price of Dewan Housing Finance Corporation (DHFL) ended 4.79% higher at Rs 47.05 on BSE.
By Rupa Burman Roy