Titan stock down nearly 13% in early trade

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Mumbai: Shares of Titan Industries on Wednesday tanked by nearly 13 per cent on continued selling amid concerns that restrictions put by RBI on gold imports will hit business prospects.
After making a weak opening, shares of the company further tumbled 12.64 per cent to Rs 206.50 - its 52-week low on the BSE.
At the NSE, the scrip nosedived by 12.66 per cent to touch a one-year low of Rs 207.15.
Since June 4, when the RBI imposed more restrictions on gold imports, the stock has lost over 24 per cent.
In a filing to the BSE yesterday, Titan Industries had said that it has been clarified that all imports of gold for domestic consumption, either through banks, nominated agencies or directly can be made only with 100 per cent cash margin.
The company said it has had discussions with RBI officials to obtain clarifications on certain aspects of the notification issued on June 4, 2013. It has also been clarified that credit of any kind from suppliers or bullion banks for import of gold for domestic use is prohibited, Titan said.
This also affects import of gold through all non-consignment routes like gold on lease/loan, it said.
The Reserve Bank had last week extended the restrictions on gold import to other agencies in addition to banks, a move aimed at curtailing demand for the precious metal for domestic use amid widening current account deficit.
Meanwhile, in the stock market, the BSE benchmark Sensex was trading at 19,059.35, down 83.65 points at 1130 hrs.