Domestic funds' call lifts MTNL

DALAL STREET SPIKES

State-run telecom major, MTNL witnessed a sharp surge following accumulation of stock by funds and local brokerage houses. The buzz in the market is that domestic funds are accumulating the stock at lower levels in anticipation of some major announcement post-elections.

In yesterday's trading, the stock gained 4.26 per cent to close at Rs 151.70, with volumes accounting for more than 20.7 lakh shares at the BSE.

The counter has been witnessing buying for the last few trading sessions as a result of which the stock has risen nearly 25 per cent from Rs 121 levels of March 25 2004 to today's close of Rs 151.50, the dealers said.

The rise in the stock is also in anticipation of impressive fourth quarter performance.