CCD stock tanks as VG Siddhartha goes missing, cites debt pressures

Shares of Coffee Day Enterprises hit their lower circuit of 20% after the founder VG Siddhartha went missing. In a letter to the board, he said he had failed as an entrepreneur to create the right business model. He also wrote however that the current assets of the company outweigh the liabilities & can help repay everybody. As of March 2019, CCD clocked a revenue of Rs 1,777 cr . In March this year, VG Siddhartha agreed to sell his  stake in Mindtree to Larsen and Toubro Ltd at Rs 980 per share. Reports surfaced that Siddhartha was forced to sell his stake due to a liquidity crunch  triggered in August, by defaults in payments by IL&FS.The company’s net debt as on March, 2018, stood at Rs 3,323.8 crore.