Delta Corp Tanks; Stock down by 27 percent intraday

Delta Corp Tanks; Stock down by 27 percent intraday

Casino operator Delta Corp was down by nearly 27 percent during intraday trade. While the stock has recovered from day’s low of Rs 175.65 to Rs 189 at 11.40 am, high volatility has been witnessed on the counter. Indian government announced GST at 28 percent on casinos, race horse betting and online casinos and online sports betting. The decision announced by Finance Minister Sitharaman yesterday has impacted Delta Corp stock today. Delta Corp operates three casinos in Goa and has interests in gaming and hospitality sector.

Delta Corp stock was locked in 20 percent circuit during the opening trades. As the circuit was eased, the stock declined further.

In the decision announced yesterday, Union Finance Minister Nirmala Sitharaman said, “We have offered exemption on GST for satellite launch services provided by private organisations. Online gaming, horse racing and casinos will be taxed at 28% (all three activities) and they will be taxed on full face value.”

Delta Corp reported 6 percent increase in net profit for the quarter ending March 31, 2023. The GST decision will have a major impact on Delta Corp.

Delta Corp was among favorite stocks of ace investor Rakesh Jhunjhunwala.

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