MTNL, HMT stocks tank on heavy selling

Shares of MTNL and HMT witnessed huge selling pressure on Wednesday, falling up to 19 per cent, after reports said these firms are among a list of 65 sick PSUs .

MTNL plummeted 18.88 per cent to settle at Rs 21.05 on the BSE. During the day, it tanked 19.46 per cent to Rs 20.90.

Shares of HMT plunged 11.04 per cent to Rs 48.35. In intra-day, it dipped 12.97 per cent to Rs 47.30.

The governemnt will shut five public sector undertakings, including some of the best known state-run enterprises in the list of 65 sick PSUs, Lok Sabha was informed on Tuesday.

The five state-run organisations to be closed down include three HMT units whose brand of watches and tractors once ruled the market, Heavy Industries Minister Anant Geete had said during Question Hour, adding that their employees were being offered a "very good" VRS package.

MTNL showed profit of Rs 7,820 crore in 2013-14 but had incurred losses of Rs 5,321 crore and Rs 4,109 crore in the previous years.