Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : India Coffee House -- Ignore unavailable to you. Want to Upgrade?

To: Manny who wrote (3880)	3/9/1999 9:34:00 PM
From: Mohan Marette	Respond to of 12475

I don't know,good company and everything,certainly a sizzling stock in India but now they are about to play with the 'big boys' on Wall Street. Hard to say how the ADR will perform,it is interesting to note though that companies of similar makeup here in the U.S haven't been doing all that well lately,I am talking about their stock performance of course.

To: Manny who wrote (3880)	3/9/1999 10:34:00 PM
From: Mohan Marette	Respond to of 12475

Infosys Tech set for Nasdaq debut; demand for its ADR ten times its issue size Pradipta Bagchi in Mumbai At exactly 8 AM on Thursday, New York time, after a couple of false starts, "Infy" will come to life on the Nasdaq. And in the process, Infosys Technologies (Nasdaq code: Infy) will forge a path into the biggest capital market in the world, a path which all the other software companies like Satyam, NIIT and Wipro are looking to emulate. According to market players, the long-awaited Infosys ADR issue of 9 lakh shares or 18 lakh American Depository Receipts to raise $75 million dollars is set for a rousing welcome on the Nasdaq stock exchange on Thursday. This is because the relatively small sized issue has garnered tremendous support from investors. According to estimates, the ADR issue has received demand anywhere between three times and ten times its issue size. This high demand bodes well for the post-listing price performance of the company, say market watchers, because there will be unsatiated demand for the Indian ADR. According to sources, the Infy is likely to be price in the range of $35 per ADR. In its ADR prospectus filed with the US Securities and Exchange Commission, the company had indicated that the ADRs would not be priced above $57. As each ADR represents half an ordinary share, a price of $35 per ADR means that the comparative pricing will be approximately Rs 3,000 per share. The Infosys share closed at Rs 3205 on the National Stock Exchange on Tuesday as against the previous close of Rs 3076 with a total turnover of Rs 49.9 crore. On the Bombay Stock Exchange, the stock closed at Rs 3206. Even declaration of a notional loss in the fourth quarter of this year has done nothing to dampen investor sentiments towards Infosys. This declaration has arisen because under US GAAP, the company has had to show in its notes to accounts that it will have to bear the nominal cost of $13 million for stock options to be utilised by employees this year. This notional loss of$13 million (which is the difference between the strike price of the stock option and market price) or Rs 55 crore means that Infosys is likely o post a notional loss and negative earnings for the fourth quarter. The company posted a third quarter profit of Rs 50 crore. business-standard.com