Visa Steel jumps after lenders invoke SDR

Visa Steel has surged over 16% at Rs 16.80 on the BSE, after lenders of the company decided to invoke Strategic Debt Restructuring pursuant to RBI Circular dated 8 June 2015.

On BSE, so far 61,903 shares were traded in the counter as against an average daily volume of 3,065 shares in the past two weeks.

The stock hit a high of Rs 17.30 and a low of Rs 14.52 so far during the day. The stock had hit a 52-week high of Rs 25 on 9 April 2015. The stock hit a 52-week low of Rs 13 on 11 September 2015.

Visa Steel said that the lenders of the company in its Joint Lenders Forum (JLF) meeting held yesterday, 22 September 2015 have decided to invoke Strategic Debt Restructuring (SDR) pursuant to RBI Circular dated 8 June 2015. The company is in discussion with lenders for preparing a conversion package to enable inviting a strategic investor in its special steel business, Visa Steel said.

On a consolidated basis, Visa Steel reported net loss of Rs 125.47 crore in Q1 June 2015, higher than net loss of Rs 29.4 crore in Q1 June 2014. Net sales rose 3.9% to Rs 355.22 crore in Q1 June 2015 over Q1 June 2014.