Satyam surges 6 pc in morning trade on bourses
Satyam on Friday surged as much as 6 per cent in morning trade on the bourses after the company asked the World Bank to apologise and withdraw its statement.
By PTI |
MUMBAI: Software services firm Satyam Computer on Friday surged as much as 6 per cent in morning trade on the bourses after the company asked the World Bank to apologise and withdraw its statement regarding the eight-year ban on the IT major for its "improper business practices".
The country's fourth largest IT services company is likely to take legal action against the World Bank in the face of the lender's refusal to withdraw its (the Bank's) statement that made public the decision to ban Satyam Computer for eight years from doing business with it.
The stocks of the company opened on a firm note on the BSE at Rs 135, then rallied ahead to touch an intra-day high of Rs 143.55, up 6.37 per cent from its previous closing price.
Satyam, which has courted controversy for its decision to buy Maytas Properties and Maytas Infra and then giving up the idea, said the World Bank's statement on December 23 had caused it enough "harm", and sought an apology for it.
Earlier on December 23, the World Bank had said "Satyam was declared ineligible for contracts for providing improper benefits to (the) Bank staff and for failing to maintain documentation to support fees charges for its sub-contractors."
Similar movement was witnessed on the National Stock Exchange, where the company opened at Rs 135.50, touched an intra-day high of Rs 143.20, up 6.34 per cent from its last close.
On the volume front, good movement was witnessed as over 8.57 lakh shares exchanged hands on the BSE and nearly 27.14 lakh shares have traded on the NSE.
However, the India spokesperson of the World Bank, Sudip Mozumder, has said that "the Bank stands by its statement issued on its Indian website on December 23".
The country's fourth largest IT services company is likely to take legal action against the World Bank in the face of the lender's refusal to withdraw its (the Bank's) statement that made public the decision to ban Satyam Computer for eight years from doing business with it.
The stocks of the company opened on a firm note on the BSE at Rs 135, then rallied ahead to touch an intra-day high of Rs 143.55, up 6.37 per cent from its previous closing price.
Satyam, which has courted controversy for its decision to buy Maytas Properties and Maytas Infra and then giving up the idea, said the World Bank's statement on December 23 had caused it enough "harm", and sought an apology for it.
Earlier on December 23, the World Bank had said "Satyam was declared ineligible for contracts for providing improper benefits to (the) Bank staff and for failing to maintain documentation to support fees charges for its sub-contractors."
Similar movement was witnessed on the National Stock Exchange, where the company opened at Rs 135.50, touched an intra-day high of Rs 143.20, up 6.34 per cent from its last close.
ADVERTISEMENT
On the volume front, good movement was witnessed as over 8.57 lakh shares exchanged hands on the BSE and nearly 27.14 lakh shares have traded on the NSE.
However, the India spokesperson of the World Bank, Sudip Mozumder, has said that "the Bank stands by its statement issued on its Indian website on December 23".
Too busy to trade in stocks? Invest in Mutual Funds with ET Money!
Bookmark or read stories offline -
Download ET Markets APP
Download ET Markets APP
ADVERTISEMENT
