Stocks

Coffee Day hits upper circuit on debt reduction plans

Reuters August 19 | Updated on August 19, 2019 Published on August 19, 2019

A Cafe Coffee Day coffee shop, operated by Coffee Day Enterprises Ltd.   -  Bloomberg

Coffee Day Enterprises’ shares rise 5 per cent to ₹65.8 to hit upper circuit.

The promoters plan to restart talks with Coca-Cola Co to offload a chunk of their stake in the Cafe Coffee Day chain to cut the group's debt pile further, media had reported. On Saturday, CODE announced ongoing divestment and debt reduction efforts.

At 10.55 am, the stocks of Coffee Day Enterprises were trading 4.92 per cent higher at ₹66.05.

Debt to reduce by around ₹2,400 crore once sale of Bengaluru-based tech park Global Village is completed, according to the company statement. Arm Sical Logistics Ltd is working on divestment of certain assets and proceeds to significantly reduce the debt at the unit, the statement added

Published on August 19, 2019
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