Stock exchanges to curb Jet Airways share trading

New Delhi: Stock exchanges will impose restrictions on trading in Jet Airways shares from June 28 as part of preventive surveillance measures to curb excessive volatility, according to a circular. Cash-starved Jet Airways suspended operations in April and lenders are working on ways for revival of the airline. In a circular, NSE said shares of the company would be shifted from "Rolling Segment to Trade for Trade Segment, wherein the settlement in the scrip will take place on gross basis with 100 per cent upfront margin and 5 per cent price band".

There are restrictions in trading of shares that are under Trade for Trade Segment. The decision has been taken jointly by the exchanges and would be effective from June 28, it said.

According to the circular, the company has failed to provide prompt responses to queries of exchanges regarding various rumours.

The responses received "are not clear and satisfactory", it added. Also, the company is no position to consider and okay audited financial results for the year ended March 2019 and there are also observations made by the airline's auditor. Shares of Jet Airways fell 2 per cent to close at Rs 110.10 on the NSE Wednesday.