Tree House Education Slumps 20%, Hits Fresh 52-Week Low

Tree House Education & Accessories shares on Friday fell 20 per cent amid high volumes to a new 52-week low of Rs 23.85, after a news report suggested that the company has asked playgroup children "to go back" due to a financial mess at several of its branches.

The Bombay Stock Exchange has sought clarification from Tree House Education on this report.

The bourse "has sought clarification from Tree House Education & Accessories Ltd on December 16, 2016 with reference to news appeared in Mumbai Mirror dated December 16, 2016 quoting 'Mired in a financial mess, several branches of Treehouse Playgroup ask children to go back'".

Trading volume in the stock increased surged over 7 times to 5.69 lakh as of 12:50 p.m. on the BSE, compared to its two-week average volume of 0.8 lakh shares.

A reply from the company was awaited, the stock exchange added.

Mumbai-based Tree House Education & Accessories is a provider of educational services in India operating maximum number of self-operated preschools.

At 12:31 p.m., Tree House Education shares were trading 19.97 per cent lower at Rs 23.85 apiece on the BSE, whose benchmark index, Sensex was down 0.15 per cent.