Rating agency stocks in focus: CARE slumps 8.16%, ICRA up 20%
Feb 24 2014 , Mumbai
On the BSE, Credit Analysis and Research Ltd (CARE) shares plunged as much as 8.16 per cent, while scrips of ICRA rose 20 per cent, its maximum daily limit.
Besides, CARE witnessed a spurt in volume by more than 5.74 times, while ICRA saw its volume surging by over 65.46 times.
CARE witnessed a slump in its share price to settle at Rs 788.45 after the company said bids for a share sale by stakeholders were rejected "after no bid was found acceptable."
CARE, last week, had said that IDBI Bank and four other shareholders, who together hold more than 45 per cent in the rating agency, wanted to sell a substantial portion of their stake.
ICRA shares jumped to its 52-week high level of Rs 1,913 apiece after largest shareholder Moody's Corp, announced an open offer to raise its stake in the company.
Moody's said that it would acquire an additional 26.5 per cent stake in the company through open offer at an open offer price of Rs 2,000 a share. If the open offer gets full acceptance, the shareholding of Moody's in ICRA would increase to 55 per cent.
At the end of today's trade, the market capitalisation of CARE stood at Rs 2,286 crore, while that of ICRA was at Rs 1,913 crore.