Murthy's return : Infosys gains over 4%; m-cap up Rs 6,107 cr
Shares of Infosys ended the day over 4 per cent higher, adding Rs 6,107 crore to its market value, as the IT...
Shares of Infosys ended the day over 4 per cent higher, adding Rs 6,107 crore to its market value, as the IT major recalled its founder N R Narayana Murthy and returned control of the company. After surging 9 per cent in intra-day trade, Infosys scrip finally ended the day at Rs 2,513.95, up 4.42 per cent from its previous close on the BSE.
At the NSE, the stock moved up by 4 per cent to close at Rs 2,508.10. A Defying weakness in the stock market, the bellwether scrip emerged as the top gainer on both the key indices � Sensex and Nifty.
Following the rise in the share price, the market value of Infosys climbed Rs 6,107 crore to Rs 1,44,360 crore. "The move is aimed to strengthen the leadership and put the company back on high growth path. We believe the move is positive for the company," said Ankita Somani, Research Analyst (IT) at Angel Broking. The struggling IT major had on Saturday took an important step and recalled Murthy. The performance has disappointed investors due to poor earnings in the last nine quarters and losing ground to smaller rivals.
Murthy, who had shed executive role seven years ago and finally retired as head of Infosys in August 2011, has been appointed executive chairman, replacing K V Kamath during whose tenure the company shares slumped 15 per cent.