Hold Satyam for long term, say experts<http://latestequityresearchreports.blogspot.com/2009/03/hold-satyam-for-long-term-say-experts.html> http://latestequityresearchreports.blogspot.com/2009/03/hold-satyam-for-long-term-say-experts.html
Developments at Satyam Computer Services following B Ramalinga Raju’s confession had left many retail investors asking whether to sell or hold the company’s *shares*<http://economictimes.indiatimes.com/Markets/Stocks/Stocks-in-News/Hold-Satyam-for-long-term-say-experts/articleshow/4260679.cms#>. But with the new management recently kicking off the bidding process to rope in a new investor, experts are of the opinion that one should remain invested in the *stock*<http://economictimes.indiatimes.com/Markets/Stocks/Stocks-in-News/Hold-Satyam-for-long-term-say-experts/articleshow/4260679.cms#>with a long term perspective rather than treating it as a trading stock. The offer for acquiring 51 per cent stake in the troubled IT firm has evoked interest from engineering and construction firm Larsen & Toubro, which already owns 12 per cent stake in Satyam, diversified Spice Group, IT services firm Tech Mahindra and *Nasdaq*<http://economictimes.indiatimes.com/Markets/Stocks/Stocks-in-News/Hold-Satyam-for-long-term-say-experts/articleshow/4260679.cms#>-listed iGate and Tech Mahindra. The bidding has two key conditions among others--the bidder should have net assets of over $150 million and whoever wins the bid can’t sell equity shares for a period of three years from the date of acquisition. Revelation of the accounting fraud by chairman B Ramalinga Raju had led to a number of stock broking firms stopping coverage of the stock. But with the bidding now on, there is heavy speculation over Satyam’s future stock price movement. “It’s very difficult to comment on Satyam’s stock price at this point of time as everything is yet under the wraps. The stock is moving on the news (of bidding process) and has shown some erratic movement in the past few days. It has also been removed from the F&O segment, hence *trading*<http://economictimes.indiatimes.com/Markets/Stocks/Stocks-in-News/Hold-Satyam-for-long-term-say-experts/articleshow/4260679.cms#>is out of question at this point of time. However, for long term investors, I will advise holding the stock,” said Siddhartha Bhamre, Head-Derivatives, Angel Broking. Anita Gandhi, head-institutional business at Arihant Capital said, “There is still a ray of hope for Satyam. Even after the whole episode, the company has still been getting contracts, which in itself is a confidence builder. The government has also lent support to the fraud-hit company with a board comprising efficient people. Once the current bidding process is over, there will be more clarity. Finally, the winner will act towards strengthening the business so that it can make up for the *money*<http://economictimes.indiatimes.com/Markets/Stocks/Stocks-in-News/Hold-Satyam-for-long-term-say-experts/articleshow/4260679.cms#>invested. On that count, I believe investors should hold on to Satyam. Don’t expect miracles to happen overnight, but the stock will definitely offer slow and steady growth.” Source: ET --~--~---------~--~----~------------~-------~--~----~ You received this message because you are subscribed to the Google Groups ""GLOBAL SPECULATORS"" group. To post to this group, send email to [email protected] To unsubscribe from this group, send email to [email protected] For more options, visit this group at http://groups.google.com/group/globalspeculators?hl=en -~----------~----~----~----~------~----~------~--~---
