Hindustan Construction Co Ltd (HCC) announced today that it has successfully settled claims with a major client, resulting in a significant boost to the company’s liquidity.
Shares of the company declined 2.46 per cent to 42.44 on the BSE at 11.12 am on Monday.
According to its exchange filing, the settlement agreement, valued at ₹180 crores, involves a reduction of client advances by approximately ₹130 crores. This reduction is expected to lead to annual financing cost savings of around ₹15 crores.
Furthermore, HCC will receive ₹50 crores in cash as part of the settlement, further strengthening its financial position.
The company stated that the settlement terms have been finalized, and all details pertaining to the agreement, including any compensation or penalties paid, will be disclosed as per regulatory requirements.
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Published on December 23, 2024
https://www.thehindubusinessline.com/markets/stock-markets/hindustan-construction-co-ltd-settles-major-client-claims-shares-of-the-company-fall-2/article69017864.ece
