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Kingfisher Airlines settles below face value on BSE

Stock closes at Rs 9.66 on the BSE, down 2.82% from the previous close

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Press Trust of India Mumbai
Last Updated : Jan 24 2013 | 2:11 AM IST

Shares of debt-laden Kingfisher Airlines today fell to Rs 9.66, below their face value of Rs 10 for the second consecutive day.

In today's trade, Vijay-Mallya led Kingfisher settled at Rs 9.66 on the BSE, down 2.82% from the previous close. During the intra-day trade, the stock touched its all-time low of Rs 9.62 apiece.

Yesterday, too, the scrip fell, below its face value, to close at Rs 9.94.

The stock has plunged from near Rs 41 level to these new lows within a year, as the airline has been struggling to survive.

Market analysts attributed the continuous downward trend in Kingfisher stocks to a slew of reasons such as its rising debt pile and employees' strike, among others.

In recent months, Kingfisher had to cancelled various flights as many of its employees have gone on strike for varying periods in protest against the company's failure to pay their salaries on time.

Kingfisher, which has been facing financial troubles for almost a year now, has a debt of a little over Rs 7,000 crore.

The airline has never made a profit since inception in May 2005.

Although, other airlines stocks -- Jet Airways and SpiceJet -- have also been under pressure.

Jet Airways today closed at Rs 354.60, which is much below its 52-week high of Rs 517.50 on July 19 last year, while SpiceJet ended at Rs 31.10, lower than its issue price of Rs 39.40 on July 18, 2011.

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First Published: Jul 17 2012 | 7:14 PM IST

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