HCL Info denies stake sale report

HCL shares were trading up 17% at Rs 42

HCL Infosystems has denied a report in a local newspaper saying China's Lenovo Group is in talks to buy a 50.1 percent controlling stake in the Indian company for about Rs 500 crore.

The report sent HCL Infosystems' shares as high as 27 percent. HCL Infosystem sent a statement to the BSE saying it was unaware of any such developments.

A business daily reported the talks, citing unnamed senior officials at personal computer maker Lenovo and investment bankers familiar with the development.

Shares in HCL Infosystems, which manages computer systems for large organisations, mostly in India, were trading up 16.6 percent at Rs 42.15 at 1400PM. Lenovo shares were down 1.4 percent.