RattanIndia Infra worse than penny stock

Indiabulls Infrastructure and Power, which is today renamed as RattanIndia Infrastructure, has a market cap of over Rs.400 crore and promoters hold a sizeable 62.45% stake, It has been hitting new 52-week lows since yesterday. Turned into a pitiable penny stock, it is today quoted even less than Rs.3/share.

The reason for this new low is that Morgan Stanley Asia sold some 95 lakh shares on the NSE yesterday at Rs.3.03/share. Till end of 30th Sept’16, Morgan Stanley held 2.24 crore shares or a 1.63% stake in the company.

RattanIndia Group is promoted by Rajiv Rattan, co-founder of Indiabulls Group. In July 2014, the power and infrastructure businesses were split from Indiabulls and rebranded as RattanIndia. This company has solar projects of more than 240 MW across various states. It sells majority of the power produced at its plants to central government entities like NTPC and SECI.