HDIL shares extend slump after exec sells partial stake

Last Updated: Thu, Jan 24, 2013 05:10 hrs
Construction workers are silhouetted in Kolkata

MUMBAI (Reuters) - Shares in Housing Development & Infrastructure extended falls on Thursday as a partial stake sale by Vice Chairman and Managing Director Sarang Wadhawan raised worries other stakeholders would also sell shares.

HDIL shares were down around 20 percent at 10:33 a.m., after dropping 20.4 percent in the previous two sessions. The real estate developer has seen 15.65 billion rupees of market capitalisation wiped out since Tuesday.

HDIL said on Tuesday Wadhawan sold 5 million shares worth 570 million rupees in secondary markets, reducing his stake to 0.99 percent from 2.19 percent.

Controlling stakeholders, including Wadhawan, own 37.36 percent of the outstanding shares, of which 96.24 percent is pledged.

(Reporting by Abhishek Vishnoi and Aditi Shah; Editing by Sunil Nair)

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