Unitech brushes off rumours about default in debt repayment

Realty firm Unitech today blamed certain sections of the market for spreading "false and misleading" rumours about the default in debt repayment as its stock fell by 52 per cent in the intra-day trade.
Unitech's net debt was Rs 6,332 crore at the end of the last fiscal, which the company said was stable and at manageable level.
"Rumours are being spread by certain segments of the market to profit from trading pertaining to Unitech defaulting on repayments to certain lenders, which are false and misleading," Unitech said in a statement.
Unitech's share price settled at Rs 8.70 apiece on the BSE, down by 35.27 per cent from the previous closing.

Shares of Unitech had nosedived 51.63 per cent to Rs 6.50 -- its 52-week low on the BSE.
The company said it has significantly ramped up execution capabilities and expects to increase deliveries considerably this year.

"These deliveries of existing bookings will add to cash flows and profitability and also help in reducing debt. The company's debt has been stable and is at manageable levels and its debt equity ratio is one of the lowest in the industry at sub 0.6," Unitech said.
Unitech posted a consolidated net loss of Rs 162.54 crore for the fourth quarter of last fiscal on lower sales and higher expenditure. Its net loss was Rs 51.55 crore in the year-ago period, Gurgaon-based developer said in a statement.

Income from operations fell 22 per cent to Rs 813.22 crore during January-March quarter of 2014-15 fiscal, from Rs 1,037.88 crore in the corresponding period of the previous financial year.
For the full 2014-15 fiscal, the net loss stood at Rs 128.33 crore against a net profit of Rs 69.74 crore in the previous year.
Income from operations increased to Rs 3,431.18 crore in the last fiscal from Rs 2,953.44 crore in 2013-14.