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Tourism Finance Corporation hits 2-year low on pledged share concerns

Redkite Capital, promoter of the company, has created security for the secured NCDs to their lenders by way of pledge of 9.25 million shares, representing 11.5% of total equity of TFCI on July 5.

stock market, fall, divestment, company, firm
SI Reporter Mumbai
2 min read Last Updated : Jul 11 2019 | 12:02 PM IST
Shares of Tourism Finance Corporation of India (TFCI) hit an over two-year low of Rs 65, down 8 per cent on the BSE in the intra-day trade on Thursday on investors' concerns over pledged shares by the promoters.

The stock of financial institution was trading at its lowest level since March 16, 2017. It has tanked 41 per cent in the past eight trading days after concerns surfaced over the company’s substantial exposure to Cox & Kings. In comparison, the benchmark S&P BSE Sensex was down 3 per cent during the same period.

Redkite Capital, promoter of the company, has created security for the secured non-convertible debentures (NCDs) to their lenders by way of pledge of 9.25 million equity shares, representing 11.5 per cent of total equity of TFCI on July 5, 2019. Beacon Trusteeship is acting in the capacity as the debenture trustee to secure the debentures issued by Redkite Capital.

TFCI on Wednesday informed the stock exchange that the promoters i.e. Redkite Capital vide their letter dated July 10, 2019, informed the company regarding the above matter that they had taken loan by way of issuance of secured non-convertible debentures(NCDs) aggregating Rs 85 crore to lenders on February 28, 2019.

At 11:13 am, the stock of TFCI was trading 5 per cent lower at Rs 67 on the BSE, as compared to a 0.43 per cent rise in the benchmark index. A combined 860,469 shares changed hands on the counter on the NSE and BSE so far.

Topics :Tourism Finance Corporation of IndiaBuzzing stocks

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