TV Azteca has its worst stock market fall in 23 years

The shares of TV Azteca fell on the Mexican Stock Exchange (BMV) this Wednesday after a US court reported the day before that several creditors filed an “involuntary petition” for bankruptcy against the company under Chapter 11 of the Bankruptcy Law. .

The titles of TV Azteca, one of the main world producers of content for television in Spanish, fell 31.4% to 49.4 cents, a level not seen since June 2021. With this, the television station presented its worst stock market disaster in at least 23 years. .

In market value it lost 675 million pesos in one day.

The news hit him hard,” said Gerardo Copca, an analyst at the consultancy MetAnálisis. “The situation has generated a lot of uncertainty in the investing public.”

The strong drop caused the B MV to suspend the listing of the paper for a couple of minutes to carry out a volatility auction. Upon resuming, stocks continued downhill.

The creditors request the payment of debts estimated at 63.3 million dollars, according to the court. The firm, owned by Ricardo Salinas, said on Tuesday that it will face legal proceedings, but it keeps the path of dialogue open.

Even so, the titles had already been falling since before amid widespread concerns in the global financial markets due to the banking turmoil in the United States and they had lost five consecutive sessions with an accumulated decline of 35.84 percent.

So far this year, TV Azteca’s shares have fallen 39%, going from 81 cents to 49.4 cents per unit on the Mexican Stock Exchange.