iStockNew Delhi: Shares of Zee Learn tumbled more than 18 per cent during early trade on Tuesday after filed a plea for insolvency proceedings against the education company.
The private sector lender has moved National Company Law Tribunal (NCLT) seeking initiation of insolvency proceedings against Zee Learn, according to a regulatory filing.
Following the development, shares of Zee Learn tanked more than 18 per cent to Rs 11.41, before recovering to Rs 11.57 at 10 am. The scrip had settled at Rs 13.96 on Monday.
The company said that YES Bank allegedly claimed that the total amount in default with respect to a financial facility is Rs 468 crore. Shares of YES Bank advanced over a per cent on Tuesday after the news broke out.
Zee Learn has received a notice from the Mumbai bench of the NCLT over YES Bank's petition and is in the process of compiling information to verify the facts, the filing said. The company received a notice over the petition on April 25.
"A petition under Section 7 of the Insolvency and Bankruptcy Code, 2016 has been filed by YES Bank Limited to initiate Corporate Insolvency Resolution Process (CIRP) of the Company, before the NCLT, Mumbai," it added.
Zee Learn, an Essel group company, mainly operates in the education segment. It has a chain of K-12 schools, Mount Litera Zee School and a pre-school network Kidzee.
The private sector lender has moved National Company Law Tribunal (NCLT) seeking initiation of insolvency proceedings against Zee Learn, according to a regulatory filing.
Following the development, shares of Zee Learn tanked more than 18 per cent to Rs 11.41, before recovering to Rs 11.57 at 10 am. The scrip had settled at Rs 13.96 on Monday.
The company said that YES Bank allegedly claimed that the total amount in default with respect to a financial facility is Rs 468 crore. Shares of YES Bank advanced over a per cent on Tuesday after the news broke out.
Zee Learn has received a notice from the Mumbai bench of the NCLT over YES Bank's petition and is in the process of compiling information to verify the facts, the filing said. The company received a notice over the petition on April 25.
"A petition under Section 7 of the Insolvency and Bankruptcy Code, 2016 has been filed by YES Bank Limited to initiate Corporate Insolvency Resolution Process (CIRP) of the Company, before the NCLT, Mumbai," it added.
Zee Learn, an Essel group company, mainly operates in the education segment. It has a chain of K-12 schools, Mount Litera Zee School and a pre-school network Kidzee.
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