KPIT Technologies stock falls ~40% after ex-date for demerger

The stock dropped as the company demerged its engineering division into a separate entity. KPIT Tech started trading ex-demerger today.

Jan 24, 2019 08:01 IST India Infoline News Service

KPIT Technologies
Shares of KPIT Technologies fell ~40% during intraday trade on Thursday following the demerger of its engineering division.

The stock has started trading ex-demerger as of today, January 24.

KPIT Technologies demerged its engineering division into a separate entity, KPIT Engineering. The company had fixed January 24, 2019, as the record date for the purpose of determining the eligible shareholders of the company entitled to receive the said equity shares of KPIT Engineering, as per filing.

KPIT in January last year had announced a merger with BirlaSoft and a simultaneous splitting off of the enlarged company into IT and Engineering Services.

The scrip opened at Rs135.95 and has touched a high and low of Rs149.50 and Rs123.15 respectively.

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