Satyam surges on bourses amid positive developments

Scam-hit Satyam Computer today opened on a firm note on the Bombay Stock Exchange and surged nearly seven per cent after the company's board named A S Murty, one of the firm's own, as Chief Executive Officer and announced tying up Rs 600 crore loans to meet working capital needs.

Shares of the company touched an intra-day high of Rs 49.40, up 6.81 per cent from its previous close on the BSE. It was later quoting at Rs 47.60, up 2.92 per cent on the BSE.

Similarly, on the National Stock Exchange the scrip opened 6.56 per cent up to touch an intra-day high of Rs 49.50. Later it was trading at Rs 47.80, up 2.91 per cent.

A total of 43.44 lakh shares exchanged hands on the bourses.

Yesterday, Satyam board appointed Murty, as CEO and also roped in Homi Khusrokhan, a Tata group veteran, and chartered accountant Partho Datta, as special advisors to help the company in management and finance areas, respectively.

The company said that the special advisors, along with Boston Consulting Group, would assist the new CEO and the board in defining priorities and their execution.

According to the marketmen the stock will move northwards for a short while but nothing concrete can be said regarding this counter. One can see huge volumes trading on the bourses because the prices are currently at very low levels and there is a large number of day trading on this counter.