InvestorQ : What is the problem with IndoStar Capital Finance and why is the stock falling?
Arusha Ray made post

What is the problem with IndoStar Capital Finance and why is the stock falling?

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1 week ago
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You are right that the stock of IndoStar Capital Finance has been on a vertical fall. The stock was locked at 10% lower circuit at Rs.184.30 on Monday, after company found discrepancies in its commercial vehicle loan portfolio. IndoStar specializes in used and new CV financing. The stock has already fallen 68% from its issue price of Rs.572.

IndoStar has marquee PE investors on board like Brookfield and Everstone as co-promoters. IndoStar also provides affordable home finance, through a separate subsidiary. IndoStar will now make an additional provision of Rs.557 crore to Rs.677 crore for this discrepancy and more details are awaited on this front.

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