Amar-promoted company's stock takes a hit

With the Samajwadi Party (SP) removing Amar Singh from the party, the share price of the company promoted by him, Energy Development Company (EDC), has fallen. The Uttar Pradesh-based company produces power.

Also, a report in a national daily that Enforcement Directorate and Uttar Pradesh police have put the probe into a money laundering case against Singh into top gear has proved to be a damper for the stock.

The stock has been volatile in the past couple of weeks. The share, which was trading around Rs 81 on the Bombay Stock Exchange (BSE) on January 11, fell 25 per cent after that and closed at Rs 60 on January 29.
 

OFF HIGH ENERGY DEVELOPMENT
(Rs crore)	Performance in Q3

Dec ’09% Chg Sales6.43-64.70 Other income0.10-44.40 Net profit2.53-57.80 * Over December ’08

While it rose in a couple of trading sessions after that, it fell on Wednesday after the news of Singh's removal from the SP. The price on Wednesday fell 2.72 per cent to Rs 67.95 on the BSE.

Singh holds 5.3 per cent stake in EDC while his wife, Pankaja Kumari Singh, holds 1.71 per cent. Close to 40.98 per cent is held by Sarvottam Capital Ltd. Another 5.43 per cent is help by Pankaja Art & Credit Pvt Ltd.