Zylog Systems at 52-week low, stock tanks 33% in two days

A combined 1.55 million shares have changed hands so far

Zylog Systems is locked in 20% lower circuit at Rs 149 on back of heavy volumes on the Bombay Stock Exchange (BSE). The stock of IT software products maker, currently trading at 52-week low, has tanked 33% in past two trading sessions.

As many as a combined 1.55 million shares have already changed hands on the counter so far against an average sub 700,000 shares that were traded daily in past two weeks. There are pending sell orders for 1.41 million shares on the BSE and NSE at 1234 hours.

According to information filed by the company on October 27, JM Financial Products said that the promoters of the company have pledged an additional 260,289 shares or 0.79% with them as collateral to secure the loan given to the borrowers.

 

With this, the promoters have pledged total of 8.04% or 2.65 million shares of the company with JM Financial Products as on October 23. These shares are held as margin from the clients, it added.

However, on October 19, on clarification on the sudden spurt in the volume of traded shares in conjunction with a decrease in stock price, Zylog Systems said that there have been no reportable significant developments in the day to day operations of the company and it is "business as usual". On the other hand the promoters of the company have been buying and increasing their stake in the company.