HCL Tech gains after RBI hikes FII limit

HCL Technologies rose 1.61% to Rs 1,110.85 at 9:52 IST on BSE after the central bank on Thursday, 31 October 2013, allowed a hike in foreign institutional investors investment limit in the company's paid up capital.

The Reserve Bank of India (RBI) made the announcement after market hours on Thursday, 31 October 2013.

Meanwhile, the BSE Sensex was up 101.44 points, or 0.48%, to 21,265.96.

On BSE, 15,000 shares were traded in the counter compared with average volume of 89,555 shares in the past one quarter.

The stock hit a high of Rs 1,119 and a low of Rs 1,093.50 so far during the day. The stock hit a record high of Rs 1,177 on 15 October 2013. The stock hit a 52-week low of Rs 602.40 on 19 November 2012.

The stock had underperformed the market over the past one month till 31 October 2013, rising 0.45% compared with the Sensex's 9.21% rise. The scrip had, however, outperformed the market in past one quarter, rising 16.58% as against Sensex's 9.40% rise.

The large-cap IT company has an equity capital of Rs 139.66 crore. Face value per share is Rs 2.

RBI allowed enhancing the limit for purchase of HCL Technologies equity shares and convertible debentures by foreign institutional investors (FIIs) under the Portfolio Investment Scheme, up to 49%. Earlier the limit was 30% of the paid up capital of HCL Technologies. The said limit is increased with effect from 31 October 2013.

FIIs, at the end of September 2013, controlled 26.01% stake in the company, while promoters holding stood at 61.84%.

HCL Technologies' consolidated net profit rose 18.7% to Rs 1416 crore on 14% increase in revenue to Rs 7961 crore in Q1 September 2013 over Q4 June 2013.

HCL Technologies is a leading global IT services company. It offers an integrated portfolio of services including software-led IT solutions, remote infrastructure management, engineering and R&D services and business services.

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