Shares of telecom infrastructure firms GTL Ltd and GTL Infrastructure skyrocketed by nearly 40 per cent and 20 per cent, respectively, on the BSE during intra-day trade on Friday amid media reports that lenders have approved a debt restructuring proposal for the two companies.
Following the buzz, GTL's scrip zoomed up by 39.56 per cent to touch a high of Rs 73.55 on the Bombay Stock Exchange (BSE), while GTL Infrastructure shot up by 19.96 per cent to hit the upper circuit at Rs 15.08.
According to media reports, the debt restructuring plan for both companies will be finalised by November and the debt recast could eventually lead to a proposal for the sale of their tower business.
"The rally in the stock is amid the buzz that the group may close the deal for selling the tower business to pay back its lenders," CNI Research CMD Kishore P Ostwal said.
The stellar performance by these stocks was in sharp contrast to the bearish trend in the broader market; with the BSE benchmark Sensex trading lower by 213.46 points at 16,952.08 at 1339 hours.
GTL was trading 30.74 per cent higher at Rs 68.90 at 1339 hours, while GTL Infra's shares were quoted at Rs 14.35, up 14.16 per cent.
While stock of GTL Infra closed at Rs 13. 76 on the BSE, GTL Ltd ended the day at Rs 70 per share on the bourse.
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