Opto Circuits (India) slumps after step-down subsidary in US files for bankruptcy

Opto Circuits (India) slumped 4.59% to Rs 15.60 at 11:15 IST on BSE after the company said its step-down overseas subsidiary, Cardiac Science Corporation, USA, has filed voluntary petition under Chapter 11 of the US Bankruptcy Code.

The company made announcement after market hours yesterday, 27 October 2015.

Meanwhile, the BSE Sensex was down 130.64 points, or 0.48%, to 27,122.80.

On BSE, so far 3.76 lakh shares were traded in the counter, compared with an average volume of 3.13 lakh shares in the past one quarter.

The stock hit a low of Rs 15.25, which is also a 52-week low for the stock. The stock hit a high of Rs 15.90 in intraday trade. The stock hit a 52-week high of Rs 27.05 on 26 December 2014.

The stock had underperformed the market over the past one month till 27 October 2015, falling 1.8% compared with 5.37% rise in the Sensex. The scrip had also underperformed the market in past one quarter, declining 18.86% as against Sensex's 1.12% fall.

The small-cap company has an equity capital of Rs 242.32 crore. Face value per share is Rs 10.

Opto Circuits (India) said that Cardiac Science Corporation, USA filed a voluntary petition under Chapter 11 of the US Bankruptcy Code to facilitate debt restructuring in US Bankruptcy Courts in the Western District of Wisconsin on 20 October 2015. The action is initiated by the secured lenders to the company for such filing and the management of the company is taking effective legal recourse required in this regard.

On a consolidated basis, net profit of Opto Circuits (India) fell 8.4% to Rs 8.60 crore on 20.1% decline in net sales to Rs 250.22 crore in Q1 June 2015 over Q1 June 2014.

Opto Circuits (India) is a vertically integrated multinational medical technology Group that specializes in primary, acute and critical care products for the global markets.

Powered by Capital Market - Live News