Deccan Chronicle Holdings Limited, which brings out Deccan Chronicle, the largest circulated English daily in South India, is believed to be on the brink of collapse, going by the market reports.

According to these reports, the DC Holdings, a public limited company, is in huge losses of over Rs 2,000 crore, but the management has underplayed the losses and reflected only Rs 250 crore loss in the balance sheet. Its credit worthiness has come down drastically, as its market rating has fallen to extremely low levels. The IFCI, a major financial institution has approached the government seeking to declare DC as an insolvent company and attach all its properties to repay the debts of the market.

The Deccan Chargers, which brought a lot of international recognition to the daily, has suffered huge losses and there are no takers to the attempts of the management to sell it off.

The share value of DC has come down from Rs 85 in 2011 has come down to Rs 18 on Monday. Its promoters T Venkattrami Reddy, his brother T Ravi Reddy and director P K Iyer had pledged their shares with the Future Group and borrowed some money to resolve the crisis, but the problems are far more serious than what is projected outside. At present, the promoters have only 19 per cent stake and if the situation continues for another week or so, Venkatrami Reddy and others would have to come on roads, say market analysts.