KFA shares hit lower circuit after licence suspension
Posted on: 10:49 AM IST Oct 22, 2012
Mumbai: Kingfisher Airlines stock fell nearly 5 per cent on Monday to touch the lower circuit limit after its flying licence was suspended by the DGCA late last week. The scrip of the financially-troubled company was down 4.8 per cent and hit the lower circuit limit of Rs 10.90 soon after the opening trade on the BSE. Similar was the trend at the NSE, where the stock plunged 4.82 per cent to Rs 10.85.
Kingfisher Airlines on Friday lost its license to fly with aviation regulator DGCA suspending it with immediate effect. The Directorate General of Civil Aviation (DGCA) suspended the Scheduled Operator Permit (SOP) of Kingfisher Airlines following its failure to come up with a viable plan of financial and operational revival.
Meanwhile, selling pressure was also seen in other UB group stocks. United Breweries was trading 0.90 per cent lower, while United Breweries Holdings Ltd fell by 2.86 per cent, UB Engineering (1.03 pc), McDowell Holdings Ltd (3.03 pc) and United Spirits (2.81 pc). In the broader market, the BSE benchmark Sensex was trading at 18,670.32, down 11.99 points at 1034 hrs.