GTL Infra shares tank 20% on Aircel insolvency woes

New Delhi: Shares of GTL Infrastructure Ltd slumped as a lot as 20% in morning commerce on Friday after it mentioned the influence of Aircel’s insolvency shall be materially antagonistic for the corporate.

GTL Infra shares plunged 19.85% to a low of Rs3.11 on the BSE. On the NSE, the inventory fell 19.21% to the touch its 52-week low of Rs3.15. The inventory has fallen by 57% for the reason that begin of this yr.

On 1 March, Aircel surprisingly and unexpectedly filed for chapter earlier than the Nationwide Firm Regulation Tribunal (NCLT), Mumbai with an intent to undertake a decision plan.

“On condition that Aircel contributed 43% of the revenues of the corporate as on March 2017, the influence of Aircel’s insolvency shall be materially antagonistic for the Firm,” GTL Infra mentioned in a regulatory submitting.

Aircel has overdue outstandings in the direction of infrastructure provisioning charges and previous settlements of over Rs384 crore, the submitting mentioned.

“Within the occasion no revival is feasible and Aircel turns into bancrupt, the corporate would lose all 23,727 of Aircel’s tenancies. Consequently thereof, the corporate’s tenancies will prone to shut at 26,639 as on March 31, 2018 as in opposition to 51,587 tenancies as of December 31, 2017,” the submitting added.

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