Travel and tour company, Cox & Kings, on Thursday said that it has defaulted on payment of commercial papers due to a mismatch in cash flow and aggravated situation from ratings downgrade.

It was obligated to pay off Rs 200 crore but only managed to pay Rs 50 crore. The company said it will meet its financial obligations "through a combination of internal accruals and monetisation of assets."

Shares of Cox & Kings hit their all-time low for the second consecutive day on Friday. The stock touched a low of Rs 36.80 apiece on NSE, after a 9.91 percent drop in value. The company has lost 80 percent in share value in the last one year.

In its regulatory filing it said, "We wish to further state that the Company has been meeting its liability obligations."

"However, due to cash flow mismatch and a situation exacerbated by rating downgrade, the Company proposes to meet its financial obligations through a combination of internal accruals and monetisation of assets," it added.

The company said that it is working towards making good its obligations.