Mastek hits 52-week low after Sebi issues warning letter; Check details

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Mastek shares declined 6 per cent in trade on BSE, hitting a 52-week low at Rs 2,089 per share. The stock slipped after market regulator Securities and Exchange Board of India (Sebi) issued a warning letter addressed to the compliance officer.

 

The warning letter was for not identifying a transaction as Unpublished Price Sensitive Information (UPSI) involving acquisition of a US-based entity by a subsidiary of the company in the US. Disclosure regarding the said acquisition was submitted to the Stock Exchanges on July 19, 2023.

 

Around 1:05 PM, Mastek share price was down 4.31 per cent at Rs 2,128 per share on BSE. In comparison, the BSE Sensex was down 0.15 per cent at 73,085.88. The market capitalisation of the company stood at Rs 6,571.36 crore. The 52-week high of the stock was at Rs 3,375 per share and the 52-week low was at Rs 2,089 per share.

 

"This is to inform you that the Company has received an administrative warning letter from the Securities and Exchange Board of India (SEBI) addressed to the Compliance Officer with regard to the identification of an information as Unpublished Price Sensitive Information," the filing read.  

 

Further, the company said that there is no impact, financial or operational, on the company after the issuance of the warning letter. 

 

Recently, Mastek secured multiple contracts with an estimated value of $85 million from a UK public service department, spread over a period of 2 years. 

 

The contracts were an extension and expansion of the ongoing collaborations that support the transformation of the department’s Digital, Data, and Technology services, aligned to its strategic priorities. 

 

Through continued investment in the UK’s Critical National Important Services, Mastek plays a vital role in supporting essential services, including case management, data integration, and management, in citizen services on secure AWS cloud infrastructure.

 

Mastek is a global provider of enterprise AI, digital, and cloud services, enabling clients to achieve measurable and sustainable returns on their technology investments. The company partners with industry leaders such as Oracle, Salesforce, Microsoft, AWS, Snowflake, and Databricks, serving key sectors such as Public Sector, Healthcare, Retail, Manufacturing, Higher Education, and Financial Services. Mastek is a solutions-focused and relationship-centric company, that values both employees and clients. With its humane approach, Mastek fosters growth through sustainable goals, high ethical standards, and responsible governance.

 

In the past one year, Mastek shares have 25.5 per cent against Sensex's decline of 0.91 per cent.