DHFL bounces back after a dip of 38 per cent
The Dewan Housing Finance Corporation (DHFL) on Tuesday bounced back after suffering a huge selloff a day before and surged six per cent after the company said it was working to ensure resolution of liquidity issues without any haircut (the difference between the loan amount and the actual value of the asset used as collateral) to the lenders.
Reports reveal that the troubled mortgage lender’s stock dipped sharply around 30 per cent on Monday after the company’s quarterly loss of Rs 2,224 crore for the fourth quarter ending March 31 was posted. The day trading hit a low of Rs 44.45 on Tuesday against Rs 71.25 in July which is a dip by 38 per cent in the three trading sessions, says a report.
The report added that according to DHFL, the sectorial stress is well-known for months, the company withstood intense pressure and continues to remain strong and solvent. The company said that the reports regarding its tough times were published and based on selective quotes from a regulatory filing. It said, “Media used selected portions of our statement and created panic/ confusion especially regarding the statement on the going concern.”
It may be noted that the DHFL has sold assets worth Rs 41,800 crore since September last year to meet payment obligations. The company somehow managed to pay up within the grace period.