Vakrangee down 5% after surging 90% in four weeks

The stock hit an intra-day high of Rs 294, rallied 90% in past four weeks from Rs 155 on March 1, 2018, as compared to 2.6% decline in the Sensex.

Vakrangee was locked in down circuit of 5% at Rs 271 falling 8% from its early morning high of Rs 294 on the BSE with only sellers were seen on the counter.

In past four weeks, the stock zoomed 90% from Rs 155 on March 1, 2018, as compared to 2.6% decline in the S&P BSE Sensex.

A combined 1.19 million shares changed hands on the NSE and BSE and there were pending sell orders for 4.01 million shares on both the exchanges at 01:11 pm. Vakrangee hit an all-time high of Rs 515 on January 21, 2018, had tanked 71% to touch a 52-week low of Rs 147 on March 5, 2018 in intra-day trade.

The Securities and Exchange Board of India (Sebi) and exchanges have introduced additional surveillance measures (ASM) on total 20 stocks including Vakrangee with surveillance concerns such as price variation, volatility etc. with effect from Monday, March 26, 2018. The list also includes Gitanjali Gems, GTL Infrastructure, Electrosteel Steels, Bombay Rayon Fashions and LCC Infotech.

The securities shall be placed in price band of 5% and margins shall be levied at the rate of 100%. The shortlisted securities shall be further monitored on a pre-determined objective criteria and would be moved into Trade for Trade segment once the criteria gets satisfied.

“Market participants may note that ASM framework shall be in conjunction with all other prevailing surveillance measures being imposed by the Exchanges from time to time and as may be applicable,” BSE said in a notice dated March 21, 2018.

Further, it may also be noted that the shortlisting of securities under ASM is purely on account of market surveillance and it should not be construed as an adverse action against the concerned company, it added.