NIIT Flares Up On Reports Of UK Order

Mumbai, November 27: | Updated: Nov 28 2002, 05:30am hrs
NIITs stock price charged up in an otherwise dull market on Wednesday, piggybacking on reports of the company having bagged a sizeable overseas order from a UK-based company.

On The Stock Exchange, Mumbai (BSE), the stock of the software and computer education company closed at Rs 155.90, 1.83 per cent higher than its previous close at Rs 153.10. The stock of NIIT clocked considerable volumes at 14,68,625 shares.

Dealers said that renewed buying interest in NIIT follows reports that NIIT has won a $10 million order from the UK-based Misys Independent Financial Advisory Services.

The new order is expected to provide the much needed relief to the company, whose IT education and services have not been performing well in the recent past, dealers added.

In 18 sessions between October 29 and November 26, 2002, the stock of NIIT has witnessed a rise of 35.7 per cent to its current price at Rs 153.10 from Rs 112.85.

The education business has taken a hit in the wake of declining demand for software professionals, analysts said. NIIT is now pinning hopes on its software services business and has made successful ventures in terms of tie-ups with overseas companies, they added.

However, analysts remain bullish on their long-term outlook on the stock of NIIT as they expect the companys software business to grow in the forthcoming quarter.