Financials trade weak; Shriram Transport slips 18% on Fitch downgrade

Bajaj Finance, Bandhan Bank, HDFC, Manappuram Finance, Cholamandalam Financial and M&M Financial Services were down more than 10% on the BSE.

Shares of financials plunged up to 18 per cent on the BSE in the intra-day trade on Monday after the rating agency Fitch downgraded three Indian non-banking financial institutions (NBFIs). 

Fitch Ratings has downgraded the long-term issuer default ratings (IDRs) of Shriram Transport Finance Company (STFC) and Muthoot Finance (MFL) to 'BB' from 'BB+'. It has also downgraded the long-term IDR of India Infoline Finance (IIFL) to 'B+' from 'BB-'. All their ratings have been placed on Rating Watch Negative (RWN). Fitch has also placed the 'BB-' Long-Term IDR of Manappuram Finance on RWN.

STFC, Bajaj Finance, Bandhan