Mumbai: Shares of DLF on Thursday ended nearly 9 percent lower after the Punjab and Haryana High Court set aside the state government's decision to allot 350 acres of land in Gurgaon to the realty major in 2010.
After falling 11.66 percent to Rs 167.30 in intra-day trade, shares of DLF finally ended at Rs 167.30, down 8.60 percent on the BSE.
At the NSE, the stock plunged 8.15 percent to settle at Rs 168.
Led by sharp fall in the stock, the company's market value tumbled by Rs 2,803 crore to Rs 29,809 crore.
In terms of volume, 28.73 lakh shares of the company changed hands at the BSE, while more than 2 crore shares were traded at the NSE during the day.
"The company is awaiting a copy of the order and can offer detailed comments only pursuant to that. However, at this juncture the company would only like to clarify that the said land was awarded to DLF by two rounds of international competitive bidding process.
"The company further clarifies that the stated project is an independent project to be developed in the future and has no correlation whatsoever with any of the ongoing, existing or completed projects of the company including DLF 5," DLF said in a filing to the BSE today.
The Punjab and Haryana High court yesterday set aside Haryana government's decision to allot 350 acres of land at Wazirabad in Gurgaon to real estate developer DLF in 2010.
A division bench of the court yesterday directed Haryana government to conduct an auction of the land in question by inviting international bids within a month.
However, DLF would be able to participate in the auction process.
The decision came on a bunch of petitions filed by farmers challenging the acquisition and transfer of the land to DLF, citing that it was a village common land, their counsel Inderpal Goyat had said.
DLF had proposed to come up with golf villas at the site.
The court had in 2012 restrained DLF developers from carrying out any construction and also from creating any third party rights.
