Business Standard

Godfrey Phillips shares continue to tumble; tank another 9 pc


Press Trust of India New Delhi
The scrip of cigarette maker Godfrey Phillips continued to fall for the second consecutive day on Wednesday, plunging over 9 per cent, amid reports of sale of the company's shares by the promoters.
Godfrey Phillips on Tuesday denied reports that its promoter KK Modi group was planning to sale its stake in the company, evoking a strong rebuttal from Lalit Modi, who called the company "blatant liars".
The stock tanked 9.14 per cent to close at Rs 1,247.30 on the BSE. During the day, it plummeted 9.95 per cent to Rs 1,236.15.
At the NSE, it tumbled 9.13 per cent to close at Rs 1,248.05.
On Tuesday, shares of the company had dropped 4.58 per cent on the BSE.
In a regulatory filing, Godfrey Phillips clarified that it is neither engaged nor privy to any discussions on "rumoured potential transaction by its promoters".
"The company has also received a clarification from its significant promoter that there has been no decision to put its assets on sale," it said.
Reacting to the company's denial, Modi, who is abroad, tweeted, "All I can say is they are blatant liars."

Sharing a letter he had written to co-trustees of KK Modi Family trust ahead of a meeting of the board of trustees on November 30, 2019, in which he proposed selling of various assets including family-controlled businesses, Modi termed clarification by Godfrey Phillips as "a complete eye wash".
Bina Modi, wife of KK Modi, took over as the chairperson of Modi Enterprises in November last year after his demise.

Disclaimer: No Business Standard Journalist was involved in creation of this content

Don't miss the most important news and views of the day. Get them on our Telegram channel

First Published: Jan 29 2020 | 8:30 PM IST

Explore News