PNB Housing Finance's MD and CEO Sanjaya Gupta resigns
New Delhi: PNB Housing Finance's MD and CEO Sanjaya Gupta has resigned for the position.
Gupta's term will end on 4 May 2020. The company has started to look for a new MD and CEO. Till the time a person is appointed as MD and CEO, the company has chosen Neeraj Vyas to work as MD and CEO. Vyas has so far served as an Independent Director of PNB Housing Finance, the company said in a regulatory filing.
Gupta’s resignation comes at a time when there is extreme liquidity issues with housing finance companies and the going seems to getting tough. A number of real estate companies have already defaulted in repayment to the company.
It will also be worthwhile to note that rating agency CRISIL had downgraded ratings for PNB Housing Finance Ltd’s fixed deposits from “AAA” to “AA+” in februry 2020. The agency had done so because of weakening of asset quality of the company. The company had also cut down the size of equity raising plans than earlier.
CRISIL had also revised the outlook on the long-term ratings of PNB Housing Finance to 'Stable' from 'Negative'. In July 2019, CRISIL had revised the rating outlook of PNB Housing Finance to 'negative' because of concerns over leverage metrics and also due to moderation in capital adequacy ratios.