The National Stock Exchange of India (NSE) said on Wednesday that shares of Jet Airways Ltd would be pulled out of daily trading, citing the embattled carrier’s failure to respond to queries about rumours in the market.
Shares of Jet, once the biggest private airline in India, have more than halved since the airline shut down its operations in April after its lenders refused to bail it out.
Jet’s securities will now be moved to the trade for trade segment with effect from June 28 as a “preventive surveillance measure”, from the current rolling segment, which allows daily trading, the stock exchange said in a circular here.
“There are concerns with regard to continuity of flow of information about the company which is very vital for the appropriate price discovery in the scrip,” NSE said, adding that trading in the stock may not reflect the actual status of the company.
NSE also cited the company’s failure to submit its financial results for the year ended March 31 as well as observations made by the airline’s auditor as reasons for the move.