DB Realty Defaults on Rs.700 Crore Payment

DB Realty Defaults on Rs.700 Crore Payment

by 5paisa Research Team Last Updated: Dec 10, 2022 - 06:33 pm 41.8k Views
Listen icon

D B Realty, a prominent real estate development company based out of Mumbai, has defaulted on its loan commitments to the tune of Rs.698 crore. This is the outstanding on the interest and principal repayment portions of the loan taken from financial institutions.

This is not the first time the company has defaulted. It has earlier defaulted on loan repayments to some of India’s leading financial institutions like LIC Housing Finance, Yes Bank and Reliance Capital.

Loan defaults by DB Realty in the past have ranged from small and mid-sized loans to much larger sized loans. This is among the largest defaults done by D B Realty. Incidentally, the company had also earlier defaulted on tax deposits with the government.

D B Realty is a real estate development company which has a strong franchise in Mumbai, Pune and adjoining regions. It is engaged in residential, commercial, retail and also projects that pertain to mass housing and cluster development.

As per the new rules, any default by the listed companies to financial institutions have to be reported to the exchange on the same day and the same should be put up by the exchange as well as by the company on their website.

This was introduced as an investor protection measure after it was found that companies were informing the stock exchanges only one quarter after the actual default leading to investors being unaware of the reason as the stock prices slid.

D B Realty was floated jointly by Abhishek Goenka along with Shahid Balwa of the Balwa group. Original, the company was created as Dynamix Balwa Realty which was later renamed to D B Realty. The stock is listed on the NSE and the BSE.

Ironically, the stock was locked on upper circuit at Rs.59.60 on the BSE on Friday 07th January 2022. It also touched its 52-week high on Friday and its 52-week low price is Rs.15.25 on the BSE. The stock has a market cap of Rs.1,450 crore and it is currently a loss making company.

How do you rate this blog?

Start Investing in 5 mins*

Rs. 20 Flat Per Order | 0% Brokerage


About the Author

Our research team is composed of some highly qualified research professionals, their expertise range across sectors.

Enjoy 0%* Brokerage with 5paisa
Resend OTP
Please Enter OTP
Mobile No. belongs to

By proceeding, you agree to the T&C.

Latest Blogs
Market Outlook for 23 April 2024

Nifty started the week on a positive note above 22300 mark. The index consolidated within a range throughout the day and ended around its day’s high above 22350 with gains of a percent. Nifty Today:

Market Outlook for 22 April 2024

Our markets corrected sharply in the week gone by mainly due to uncertainty over global geopolitical tensions and selling by the FIIs which resulted in the index breaking the 22000 mark. However, we witnessed recovery from the low of 21780 in the last trading session and Nifty ended around 22150 with a weekly loss of over one and a half percent.

Stock in Action - Escorts Kubota Ltd

Escorts Kubota Stock Movement of Day