Indian companies listed on American bourses saw their market value climb $2 billion (Rs 9,600 crore) in just one week even as software exporter Satyam Computer Services lost $1.62 billion after the Maytas buyout fiasco.
Among the 16 Indian firms trading as American Depository Receipts (ADRs), IT major Wipro gained the most, adding $1.06 billion to its market capitalisation. However, Satyam lost $1.62 billion in market-cap as its ADR plunged nearly 55 per cent after the software major announced that it would buy two domestic infrastructure firms — Maytas Infra and Maytas Properties — for about $1.6 billion.
The two companies are promoted by the sons of Satyam’s Founder Chairman Ramalinga Raju.
However, the software exporter called off the deal just 12 hours after it was announced they would acquire the two companies, following stiff investor resistance.
Leading private sector lender ICICI Bank, which announced a change of guard at the helm, saw its valuation jump $958 million, while HDFC Bank added $525 million to the market capitalisation. IT bellwether Infosys increased its value by $767 million. Auto maker Tata Motors witnessed a rise of $247 million in valuation whereas BPO major Genpact gained $150 million.
Pharma major Dr Reddy’s Laboratories’ market cap grew by $118 million.
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In the same period a week ago, the 16 ADRs had gained a stunning $6.3 billion in valuation.
Outsourcing entity ExlService Holdings, internet firms — Sify Technologies and Rediff.Com and telecom company Mahanagar Telephone Nigam managed to add to their market value.
Apart from Satyam Computer Services, leading copper producer Sterlite Industries’ valuation dropped by $127 million. In addition, BPO company WNS, telecom major Tata Communication, Patni Computer Systems and outsourcing entity WNS saw their valuation tumble.