Mumbai: With less than a month to go before Satyam Computer Services Ltd. is expected to announce restated financials, the company’s shares on Friday jumped 10.65% on the Bombay Stock Exchange (BSE) to close at Rs91.40. The bellwether Sensex declined 0.09% .
Market analysts who track the stock were at a loss to explain the steep and sudden rise in the stock price and daily trading volumes, which reached about 1.3 crore shares. The last two week’s average daily trading volume was only about 10 lakh. Total trading turnover at the Satyam counter on Friday stood at about Rs114 crore, compared to about Rs32 crore on Thursday and Rs4 crore on Wednesday.
“The recent major announcement from the company was on Thursday, about potential fresh demand from the US healthcare sector, and a multi-million dollar deal that they secured in that sector,” said Shashi Bhusan senior analyst at Mumbai-based brokerage Prabhudas Lilladher Pvt Ltd.
Following founder and former chairman B. Ramalinga Raju admission of accounting fraud to the tune of Rs7136 crore in January 2009, the company was sold off in a government-mediated auction to Tech Mahindra Ltd. Satyam’s financials are currently being restated and are expected to be published before the 30 September deadline set by authorities. Lison Joseph