Shares of Anil Ambani-led Reliance Group companies like Reliance Capital and Reliance Infrastructure were trading lower for the sixth straight day, falling by up to 7 per cent each on the BSE on Wednesday. In comparison, the benchmark S&P BSE Sensex was down 0.36 per cent at 38,591 points at 01:56 pm.

Reliance Capital, which was down 6 per cent intra-day to trade at Rs 56 apiece, has slipped 13 per cent in the past four days. The dip started after rating agency CARE Ratings (CARE) reaffirmed its 'BBB' rating and revised its outlook to 'credit watch with negative implications' for the long-term debt program, market linked debentures and subordinated debt of the company.

"The ratings have been placed on account of the likely utilization of part proceeds of divestments to meet the debt guaranteed by Reliance Capital which was not factored as per the earlier plan submitted by the company," the ratings agency said in its rationale.

The repayment schedule of the guaranteed debt has not yet been provided by Reliance Capital. Hence, CARE does not have clarity on the impact of these payments on the liquidity profile of the company, it said.

In response, however, Reliance Capital said it "respectfully protests and disagrees with the revision".

"There has not been any adverse change in the company's operational parameters and/or any other circumstances from the time of the last rating action, just 7 weeks ago and hence latest revision is completely unjustified," it said.

Meanwhile, shares of Reliance Infrastructure dipped 7 per cent intra-day to Rs 45 per share, having slipped 18 per cent in the past four trading days.