Led by Wipro, Indian ADRs lose $12 bn in a week

Led by Wipro, Indian ADRs lose $12 bn in a week

New York: Indian stocks trading on the American bourses collectively lost over $12 billion last week, with IT major Wipro topping the losers’ chart.

For the week ended 7 May, the 16 Indian companies listed on the New York Stock Exchange and Nasdaq together lost $12.55 billion from their market capitalisation, with Wipro alone shedding a staggering $3.14 billion to settle at $29.82 billion as Wall Street saw one of its worst weeks in many months.

Wipro is followed by copper major Sterlite Industries whose market capitalisation tanked by $2.39 billion to $12.85 billion during the week when the main American indices plunged more than 5% as the escalating Greece debt crisis rattled the global markets during the week.

Software major Infosys Technologies’ valuation fell by $1.97 billion to $32.25 billion, while the market value of private sector lender HDFC Bank decreased by $1.57 billion to $21.05 billion.

Auto major Tata Motors also saw its market valuation falling by $1.26 billion to $7.91 billion.

ADRs are bought and sold on American markets just like stocks and are issued in by a bank or a brokerage firm.

Another private sector lender ICICI Bank and pharma major Dr Reddy’s Laboratories too saw significant erosions in their market valuation. ICICI Bank’s valuations declined by $927 million to $21.37 billion, while that of Dr Reddy’s’ dropped $471 million to $4.2 billion.

Market value of Mahindra Satyam and BPO company Genpact slipped by $310 million and $305 million respectively.

However, IT firm Patni Computers and outsourcing company EXLservice Holdings managed to increase their valuation.During the week, Patni’s valuation rose by $65 million, while that of EXLservice by $4 million.

But outsourcing company WNS Holdings, Internet firms Sify Technologies and Reddif.com, telecom majors Tata Communications and MTNL also saw their valuations dipping in the range of $5 million to $113 million.

On Friday the US markets ended in deep red, with the Dow Jones plummeting by 140 points at 10,380.43 and S&P 500 falling by 17.27 points to 1,110.88. Besides, tech-heavy Nasdaq plunged 54 points at 2,265.64.