Investors lost nearly Rs15,000 crore market value in Vakrangee in last three days
Vakrangee Ltd ‘s stock fell over 27.7% in last three sessions and erased Rs14,823.24 crore market capitalisation to Rs38,683.37 crore
Mumbai: Investors of Vakrangee Ltd lost nearly Rs15,000 crore market value in last three sessions on a news reports that market regulator Securities Exchange Board of India (SEBI) is investigating an alleged share price and volume manipulation.
The stock hit 20% lower circuit on Wednesday, its steepest fall since August 2015 to hit a low of Rs365.35. The stock fell over 27.7% in last three sessions and erased Rs14,823.24 crore market capitalisation to Rs38,683.37 crore. So far this year it declined 13.22%.
According to a Mumbai Mirror report, Vakrangee has come under SEBI’s investigation for alleged price and volume manipulation of its own stock on BSE and NSE. The company is the largest enrolment agency for UIDAI and claims to have carried out over 50 million Aadhaar enrolments,
The stock is a multi-bagger and provided robust returns to its shareholders in last ten years. Since January 2009, its scrip has risen over 44455% from Rs0.82 a share.
“We would like to highlight that we have not received any official communication from Exchanges or Security Exchange Board of India (SEBI). The rumours on price and volume manipulation are completely baseless and factually incorrect,” the company said in a clarification to the exchanges.
“This entire exercise seems to have some ulterior motive as trying to tarnish our company’s image,” the clarification added.
On 22 January, the company reported a net profit of Rs274.87 crore for December quarter against Rs130.22 crore a year ago. Total income from operations rose 84% to Rs802.42 crore.
Of the 6 brokers tracking the Vakrangee stock on Bloomberg, all the six have a “buy” rating.
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