Tech Mahindra, Mahindra Satyam surges 6% each

Mahindra Satyam and Tech Mahindra have outperformed the market by gaining 19% and 16% respectively since the Andhra Pradesh High Court nod for merger on June 11.

Shares of Tech Mahindra and Mahindra Satyam have rallied over 5% each, extending their past few days gains, on back of heavy volumes ahead of merger.

Mahindra Satyam has rallied nearly 6% to Rs 127 on the Bombay Stock Exchange (BSE). The stock opened at Rs 121 and has seen a combined 4.41 million shares have changed hands on the counter till 1255 hours against an average 3.5 million shares that were traded daily in past two weeks.

Tech Mahindra too, surged around 6% to Rs 1,096 on BSE. A combined 880,337 shares have changed hands on the counter so far on BSE and NSE.

Meanwhile, Mahindra Satyam and Tech Mahindra have outperformed the market by gaining 19% and 16% respectively, since the Andhra Pradesh High Court on June 11 cleared the decks for the merger of Mahindra Satyam with Tech Mahindra. The benchmark Sensex has declined nearly 4%, while IT sector index fall 1% during the same period.

Tech Mahindra has fixed July 05, as the record date for determining the shareholders of Satyam Computer Services ('Mahindra Satyam') who would be entitled to receive shares of the company under the approved scheme.

The swap ratio for the merger had been fixed last year at 8.5 shares of Mahindra Satyam for every one share of Tech Mahindra.