Amtek Auto shares continue to face intense selling; down 29%

Amtek Auto shares continued to witness intense selling for the second straight session today, plunging nearly 29 per cent, following news of exclusion of the company's futures and options (F&O) contracts from equity derivatives segment, with effect from October 30.
After plummeting 43 per cent to Rs 50.70 -- its 52-week low, shares of the company finally ended at Rs 63.75, down 28.37 per cent on the BSE.
At the NSE, the stock dived 28.71 per cent to Rs 63.55 at close.
In the previous session, the stock had crashed almost 31 per cent.
The company's market capitalisation witnessed an erosion of Rs 1,427.47 crore to Rs 1,404.53 crore in two sessions.

"... Contracts for new expiry months for Amtek Auto shall not be available for trading in equity derivatives segment on expiry of existing contract months," BSE said in a notice yesterday.

In a circular on Tuesday, the NSE said, "... No contracts shall be available for trading in Amtek Auto with effect from October 30, 2015."
However, the existing unexpired contracts of expiry months August, September and October 2015, would continue to be available for trading till their respective expiry, it said.
The stock is falling since four days, declining by over 57 per cent as sentiment turned bearish after the auto component maker reported a net loss of Rs 157.76 crore for the third quarter ended June 30.

While weak June quarter results and debt worries were haunting investors, the announcement of the stock's exclusion from futures and options segment added to the rout.
Meanwhile, in a filing to the BSE today, the company said, "Apart from exclusion of shares of the company from futures and option (F&O) segment, we are not aware of any reasons of the significant single day fall in the stock price."
Clarifying to media reports that Amtek Auto shares are down around 70 per cent in a month on debt worries, the company said, "There is temporary cash flow mismatch in the company and to mitigate the present situation, promoters have already infused Rs 750 million and if required in future will also infuse more funds. The company is also exploring various means of fund raising.