Strategy for Satyam's investor

Secondary Mkt 744 views 6 replies

Amit

Professional

115 Points Joined November 2008

Hi Friends,

As you know that more than 14 crore Satyam shares were traded on Wednesday as the stock price at close was Rs 39.95, down by 77.7%.

Aberdeen Asset Management, one of the largest investors in Satyam, has offloaded its entire shareholding of about 5.6% in the firm. The shares have been sold at a price of between Rs 41-43. Other institutional shareholders have also exited the IT services firm after Satyam Chairman Ramalinga Raju resigned saying he falsified earnings and assets.

It appears a large number of retail investor got trapped and don't seem keen on booking losses.

Let's discuss the strategy for retail investors to minimize their losses.

Replies (6)

Sameer Medhekar

Student

4140 Points Joined April 2008

There are two

Hold on for long time
Sold off for what you get

CA. Amit Daga

Finance Controller CA. CS. CFA. CIFRS.

9017 Points Joined October 2007

You have to sale complete holding at any price.. Because as per current scenerio Satyam is costly at Rs.5 too because Jan is renewel time for all the IT Companies as well as they already lost the investors confidence. .

shailesh agarwal

professional accountant

7647 Points Joined September 2008

I AGREE WITH AMIT------

OR PURCHASE IT ON RS-5

shailesh agarwal

professional accountant

7647 Points Joined September 2008

Damage control: Satyam draws up action plan

The top leaders of Satyam Computer Services have launched an immediate action plan to ensure business continuity and leadership transition even as it initiates efforts to ascertain its liquidity position and verify allegations by its Founder and Chairman Ramalinga Raju of financial irregularities.

Satyam's leaders announced, at a press conference at the IT services company's headquarters in Hyderabad, that the company has started to actively reach out to customers globally. The leaders said that they are heartened to receive strong expressions of confidence and support from customers.

He also announced the following company's action plan going forward:

Active outreach to global clients even as customers affirm support and confidence.

Senior management pledge to stay with the company.

Sent message of assurance to approximately 53,000 associates.

Will consider appointment of an audit company for immediate investigation into allegations by Founder Chairman Ramalinga Raju and to establish position of cash and bank balances.

Seeks nominations from regulators and industry associations for candidates for board.

Recognizes need to strengthen corporate governance and cooperate with investigations by regulatory authorities and address legal issues.