Search the Internet          Tips  Sites: Finance, Investment

BSE to probe Pentamedia compliance

The Bombay Stock Exchange said on Monday that India's leading animation software firm Pentamedia Graphics was among the companies it was examining for listing compliance.

"In case of non-compliance of listing norms, the exchange will initiate necessary action in this regard," the BSE said in an e-mail statement to an enquiry.

It did not elaborate on what the non-compliance was nor gave details of other companies being probed.

Pentamedia shares dropped as much as three percent amid market talk the company faced the prospect of being suspended by the BSE, dealers said.

A company spokeswoman denied the rumour.

"This is just a rumour and there is nothing more to it," Pentamedia's corporate communications chief, Sujatha Rao, said from Madras.

In afternoon deals, the stock was down 2.7 per cent at Rs 52.05, off Rs 51.90, while the key Sensex was flat. Volume totaled nearly 260,000 shares, which was among the top 22 shares.

"The stock has reacted to market talk that BSE may delist or at least suspend its shares for non-compliance of listing norms," a dealer with a domestic brokerage said.

The stock has underperformed the broad market sliding about 82 per cent since the beginning of the year while the key Indian share index has shed nearly 17 per cent in the same period.

Tell us what you think of this report