Shares of Dewan Housing Finance Corporation Ltd (DHFL) dropped nearly 7 percent after the company deferred its March-quarter earnings announcement date. They had earlier scheduled to announce earnings on June 29.
The stock slumped to as much as 6.8 percent to Rs 76.10 per share on BSE. At 9:45 AM, the DHFL shares were trading 5.8 percent lower at Rs 76.95 per share, while the Sensex was down 0.13 percent (53 points) at 39,533. The stock has fallen 69 percent in 2019 and 88 percent in the last 1 year.
DHFL said that the delay was because of new submissions under the provisions of the Companies (Indian Accounting Standards) Rules, 2015, which came into effect from April 1, 2018. This means the financial year which ended on March 31, was the first full financial year when these rules were applicable.
The debt-laden company, on Wednesday, said that it has received a nod from Securities and Exchange Board of India’s (Sebi) to exit its mutual fund business by selling its 50 percent stake to Prudential Financial.
We wish to inform you that Sebi vide its letters June 25, 2019 addressed to DPAMPL has granted its prior approval for proposed change in controlling interest of DPAMPL and for amendment in trust deed under the applicable provisions of Sebi (Mutual Funds) Regulations, 1996 subject to certain conditions, DHFL said in an exchange filing.
On Tuesday, the mortgage lender said it is yet to repay Rs 225 crore out of the total Rs 375 crore of commercial paper. In a regulatory filing, it said it has repaid Rs 150 crore so far. This is the second time this month that the company has failed to repay a set of outstanding bonds.
On 4 June, the company defaulted on interest payment of Rs 850 crore on its non-convertible debentures, following which its credit rating was downgraded to D by rating agencies Crisil and Icra. However, DHFL was able to pay the interest within a seven-day grace period given by the bondholders.
