Quess Corp is undergoing a demerger and is currently trading at 298.20, having hit the upper circuit limit.
Shares of Quess Corp closed at Rs 295.80 on the Bombay Stock Exchange (BSE) on Tuesday after the company demerged two business entities, Digitide Solutions and Bluspring Enterprises.
The demerger will result in the listing of three separate entities on the exchange, as the newly formed companies will also be listed on the National Stock Exchange (NSE) and BSE later.
Quess Corp's stock price is expected to reflect a decline of more than 51 percent from its previous close of Rs 605.45 on BSE. Similarly, the stock had closed at Rs 604.90 on NSE and settled at Rs 284 on that exchange, indicating a 53.05 percent drop from the prior closing price. This decrease is attributed to the subtraction of the value of the two new businesses from the stock price of Quess Corp. The fair value for Quess Corp and the new entities, Digitide Solutions and Bluspring Enterprises, will be determined upon their respective listings.
After the relisting, shares of Quess Corp increased nearly 3 percent to Rs 303.75, bringing its total market capitalization close to Rs 4,500 crore. The stock has been categorized in the 'T' Group, which means that intraday buying and selling are not permitted, and a circuit filter of 5 percent will apply on either side. Quess Corp will remain in the 'T' Group for at least 10 trading sessions.
