Kingfisher Airlines has hit the lower circuit of 5% at Rs 12.60 for the sixth consecutive trading session, after the aviation regulator - Directorate General of Civil Aviation (DGCA) - issued a show cause notice to the company asking why its permit should not be cancelled or suspended as it had failed to “establish a safe, efficient and reliable service”.
The stock of private airline promoted by Vijay Mallya led UB Group has underperformed the market by falling 26% in past six days after the lenders turned down the company’s additional working capital loan request. The Bombay Stock Exchange (BSE) benchmark index Sensex has gained around 2% during the same period.
The stock opened at Rs 12.60 and has seen a combined 379,444 shares changing hands on the counter on both the exchanges. There are pending sell orders for as many as 15.99 million shares on the NSE and BSE.