Bfl Software Zooms

Price on 12/03/98: Rs 95.70

The Bangurs software company BFL Software gained 24.35 per cent last week. Bangurs who had a 40 per cent stake in the company have been looking to divest their stake in the company. This is mainly because the promoters need to generate cash. BFL needed further investments for its ongoing software technology park facility in Bangalore which is costing the company Rs 60 crore.

On a share capital of Rs 5.98 crore, the promoters holding is 40 per cent which if had been sold in entirety will fetch them Rs 32.30 crore at Rs 135 per share. In the first half of the current financial year, the company posted a lacklustre performance with sales increasing 65 per cent to Rs 24.31 crore while other income dropped 79 per cent to Rs 0.29 crore. The net profit declined by 36 per cent to Rs 2.66 crore. This is mainly due to the increase in expenses which jumped up by 104 per cent to Rs 19.54 crore.