Male Airport project was expected to give positive cash flow, stocks will react negatively: Prakash Diwan

ET Now: The GMR stock price and after the Maldives Cabinet recommending termination of their Male Airport, how damaging could it be for the stock price today?

Prakash Diwan: That is a significant dent, not only in terms of the money that sunk into the project but also, it completely puts into a disarray their cash flows for which people were banking (6:40). This is one of the only projects that was really expected to give some sort of positive cash flows to the companies and the stock would react quite negatively. The only silver lining could be, if the government decides with the Indian government intervening. This could get mitigated to some extent and that might give some sort of a breathing time to the company but otherwise there would be a negative impact.