Loads of Debt Connect the Best and Worst Stocks in India: ChartBy
Two Indian distressed companies are at the opposite ends of the performance spectrum since June 1. Jaiprakash Associates Ltd. has rallied to become the best performer among the 500 biggest firms as investors cheered plans to repay loans, while appliance maker Videocon Industries Ltd. has languished after slumping by the price limit for 23 straight days in June. Debt-laden companies’ stock-market fortunes will revive if they have credible plans to reduce liabilities, said Chakri Lokapriya, managing director of the Indian arm of TCG Group.
— With assistance by Santanu Chakraborty