Financial Technologies India (FTIL) is locked in upper circuit of 5% at Rs 404 on the NSE, after the company said it has appointed JM Financial Institutional Securities as its financial advisor for divestment of stake held in Multi Commodity Exchange of India (MCX).
On February 27, FTIL had appointed a committee to propose and oversee a restructuring plan for the company. The restructuring plan included FTIL divesting upto 24% in MCX, FTIL said in a media release.
In an order in December, the Forward Markets Commission had said FTIL should reduce its stake in MCX from 26% to less than 2%, as it wasn’t ‘fit and proper’ to run a commodity exchange. This followed an Rs 5,574-crore default at FTIL-owned National Spot Exchange Ltd in August 2013.
At 1515 hours, a combined 2.84 million shares changed hands on the counter and there are pending buy orders for around 90,000 shares on the NSE and BSE.
Meanwhile, in past four trading sessions, the stock has rallied 20% from Rs 336, after the Bank of America-Merrill Lynch acquired nearly 1% stake in the company through a secondary market purchase.
On March 5, the global investment bank’s arm Merrill Lynch Capital Markets Espana SA bought FTIL’s 235,461 shares at Rs 347.76 apiece, while on March 6, the foreign investor had purchased 264,159 shares at Rs 370.07 per share, bulk deal data on the NSE showed.
On February 27, FTIL had appointed a committee to propose and oversee a restructuring plan for the company. The restructuring plan included FTIL divesting upto 24% in MCX, FTIL said in a media release.
In an order in December, the Forward Markets Commission had said FTIL should reduce its stake in MCX from 26% to less than 2%, as it wasn’t ‘fit and proper’ to run a commodity exchange. This followed an Rs 5,574-crore default at FTIL-owned National Spot Exchange Ltd in August 2013.
At 1515 hours, a combined 2.84 million shares changed hands on the counter and there are pending buy orders for around 90,000 shares on the NSE and BSE.
Meanwhile, in past four trading sessions, the stock has rallied 20% from Rs 336, after the Bank of America-Merrill Lynch acquired nearly 1% stake in the company through a secondary market purchase.
On March 5, the global investment bank’s arm Merrill Lynch Capital Markets Espana SA bought FTIL’s 235,461 shares at Rs 347.76 apiece, while on March 6, the foreign investor had purchased 264,159 shares at Rs 370.07 per share, bulk deal data on the NSE showed.
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