Dubai's World's debt concerns drag realty stocks down
Realty stocks crashed on the BSE on fears of a debt crisis in Dubai raised by Middle East's largest property firm Dubai World asking creditors if it could defer repaying $60 billion in loan until may next year.business Updated: Nov 27, 2009 15:36 IST
Realty stocks crashed on the BSE on Friday on fears of a debt crisis in Dubai raised by Middle East's largest property firm Dubai World asking creditors if it could defer repaying $60 billion in loan until may next year.
DLF Ltd, the country's largest realty developer,plunged by 5.43 per cent to Rs 335, Unitech by 4.98 per cent at Rs 73.45 and Indiabulls Realestate was down 7.78 per cent at Rs 186 at afternoon trade on the Bombay Stock Exchange.
Reflecting the decline in the sector, the BSE Realty Index --comprising 14 stocks -- fell 5.81 per cent and was quoting at 3,423.09 points. All the 14 stocks were trading in red zone.
Orbit Corporation plunged 9.82 per cent to Rs 277.45; HDIL was at Rs 293.20, down 7.70 per cent and Mahindra Life was trading at Rs 320.80, lower by 4.57 per cent.
The Dubai factor has impacted investor sentiments across the globe, dragging the key indices in negative zone.
The BSE's benchmark index --Sensex-- on Friday declined 2.90 per cent was trading at 16,366.23 points.