Mumbai: Shares of Housing Development and Infrastructure Ltd on Wednesday fell sharply by 20 percent, after credit agency Credit Analysis and Research downgraded the real estate developer's non-convertible debentures issue.
HDIL's scrip tanked 19.65 percent to Rs 48.85 -- its all-time low on the BSE.
At NSE, the stock crashed 19.83 percent to hit one-year low of Rs 48.70.
Following the decline in the scrip, the market capitalisation of the company dropped Rs 423 crore to Rs 2,124 crore.
In a filing to the BSE HDIL today said: "The company is in receipt of letter from CARE informing that, they (CARE) have revised the rating from CARE BBB+ (Triple B Plus) to CARE 'D' assigned to the non-convertible debentures issue of the citing recent developments."
It further said that the company has not accepted the said rating assigned by CARE and would like to reiterate its strong financial and operational performance and sound fundamentals.
HDIL has submitted to CARE to review the rating, the filing said.
'D' rating is given to instruments which are in default, or are expected to be in default soon.
Non-convertible debentures are regular debentures that cannot be converted into equity shares of the liable company.