Economic Times reported that Credit Suisse, the foreign stock brokerage, on Monday recanted on its adverse equity research report on JSW Steel last week by clarifying that the steel maker's reported annual debt is in line with prudent accounting norms.

On Monday, Credit Suisse clarified by saying We have no reason to suspect (under reporting) and it is far from the intent of our analysis. The phrase 'debt effectively higher' (as mentioned in the earlier report) better describes what we sought to put across.

Credit Suisse's report on July 6 said JSW's debt had been understated by INR 11,900 crore, which led to jittery investors scrambling to sell the steel maker's shares resulting in the share shedding almost 4% of its value during intra day trading on Friday, last week.

According to people in the know, Credit Suisse clarified after JSW called a series of meetings over the weekend to communicate its views on the issue.


Source - The Economic Times

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