Shares of Elder Pharmaceuticals Ltd continued to tumble with the stock locked in lower circuit after losing 10 per cent of value on the NSE today with about 36,000 shares being traded in the first hour of trading.

The assertion of promoters that neither they nor persons acting in concert have sold any shares in the market did not soothe the nervousness of investors in the stock, which has in a matter of less than six months has lost more than 50 per cent of its value, much of it in the past few days after the selling spree began.

Elder Pharma shares were down to Rs 202.50, a loss of Rs 22.50 or 10 per cent, on the NSE . There were only sellers in the counter and the stock dipped to a fresh 52-week low.

The stock had crashed from its 52-week high of Rs 474 that it had hit on December 5 last year to the current level in less than six months.

Yesterday, the company had said that Ratnakar Bank Ltd had invoked pledge of its shares and on May 10 and 11, had sold some of them in the market which affected the market price of the shares and the volume had also gone up.

But with nearly 82 per cent of the promoters’ holding in the equity pledged and with the promoters’ stake at a minority, it is not clear whether the selling would abate or gain momentum, particularly as the share prices head South.

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