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Kingfisher shares tank 13% as lessors take back aircraft

PTI 27 Jun 2012, 15:23:13 IST
Mumbai, Jun 27: Shares of Kingfisher Airlines tumbled over 13 per cent on Wednesday following reports that lessors have taken back 34 aircraft due to non-payment of lease rentals.

Despite positive opening, shares of the company lost ground as the trade progressed and plunged 13.47 per cent to Rs 11.62 on the BSE.

Similarly, on the National Stock Exchange (NSE), the stock tanked 13.05 per cent to Rs 11.65.

On the volume front, 83.94 lakh shares of the company were traded on the BSE, while more than two crore shares changed hands on the NSE.

As per news reports, lessors have taken back as many as 34 aircrafts from Kingfisher between March and June, owing to non-payment of lease rentals of around Rs 1,000 crore.

The airline, however, said it has returned these aircraft voluntarily and that no aircraft was taken back by lessors by "force".

The Vijay Mallya-promoted airline, which is sitting on a debt pile of over Rs 7,500 crore, had reported a loss of 1,151.5 crore for the quarter ending March.

Decline in the stock underperformed the strong broader market where the BSE benchmark sensex was trading 86.19 points up at 16,992.77 at 12.58pm.