Deccan Chronicle extends fall on debt woes

NEW DELHI: Deccan Chronicle slipped over 4 per cent on Thursday as the company has been facing debt repayment issues and it seems the company is finding difficult to get a buyer for Deccan Chargers.

Media reports have indicated that the Indian cricket board ( BCCI) will float a tender to find a replacement for the crisis-hit franchise.

At 10:20 am, Deccan Chronicle was trading 4.1 per cent lower at Rs 12.34. It has hit a low of Rs 12.24 and a high of Rs 13.10 today.

“According to sources, the board sent a letter on Tuesday to the owners of the Chargers asking them to close a deal with a prospective buyer by Friday,” TNN reported.

“ICICI Bank has given a loan of Rs 480 crore to Chargers and has formed a consortium with Yes Bank -- which has loaned the franchise Rs 170 crore - and another private bank,” the reported added.

“The BCCI is worried at the prospect of a consortium of ICICI Bank, Yes Bank and another private bank running Deccan Chargers if both the franchise and BCCI fail to attract a buyer. This is probably why the board is thinking of selling the team without a base price,” the report added.