 "VRL Promoters' plan to fly lead to crash landing of stock")
VRL Logistics has surged 20% to Rs 378 on the BSE in early morning trade after the company announced that the promoters have decided to withdraw their regional airline plans.
"We have decided to drop the plans for entry into the civil aviation space as the regional connectivity related aspects listed in the new aviation do not augur well with our planned business model envisaged for the proposed activity,” Vijay Sankeshwar said in regulatory filings.
On May 24, the promoters of VRL Logistics Vijay Sankeshwar and Anand Sankeshwar announced their intention to start a regional airline.
Post announcements, the stock tanked 30% in next two trading sessions from Rs 394 on May 23, to Rs 275 on May 25. It touched a 52-week low of Rs 253 on May 25 during intra-day trade.
At 09:26 AM, the stock was up 13% at Rs 357 on the BSE, as compared to 0.05% rise in the S&P BSE Sensex. A combined 1.86 million shares changed hands on the counter on the BSE and NSE so far.
"We have decided to drop the plans for entry into the civil aviation space as the regional connectivity related aspects listed in the new aviation do not augur well with our planned business model envisaged for the proposed activity,” Vijay Sankeshwar said in regulatory filings.
On May 24, the promoters of VRL Logistics Vijay Sankeshwar and Anand Sankeshwar announced their intention to start a regional airline.
Post announcements, the stock tanked 30% in next two trading sessions from Rs 394 on May 23, to Rs 275 on May 25. It touched a 52-week low of Rs 253 on May 25 during intra-day trade.
At 09:26 AM, the stock was up 13% at Rs 357 on the BSE, as compared to 0.05% rise in the S&P BSE Sensex. A combined 1.86 million shares changed hands on the counter on the BSE and NSE so far.
