Indian ADRs shed USD 3 bn in a week; Wipro top loser
Indian stocks trading on American bourses witnessed an erosion of USD 3 billion from their cumulative market capitalisation past week, with IT major Wipro accounting more than half of the total losses.business Updated: Jun 27, 2010 12:52 IST
Indian stocks trading on American bourses witnessed an erosion of USD 3 billion from their cumulative market capitalisation past week, with IT major Wipro accounting more than half of the total losses.
For the week ended June 25, the 16 Indian entities listed on the New York Stock Exchange and Nasdaq together lost USD 3 billion from their total market capitalisation, with Wipro alone shedding USD 1.6 billion at USD 30.82 billion, followed by Infosys Technologies that plunged by USD 626 million at USD 35.58 billion.
Private sector lenders -- HDFC Bank and ICICI Bank together lost USD 737 million from their collective market capitalisation. HDFC Bank's valuation tumbled by USD 436 million to USD 22.4 billion, while that of ICICI Bank fell by USD 301 million to USD 20.92 billion.
Out of the 16 companies listed as American Depository Receipts (ADRs), five of them including pharma major Dr Reddy's Laboratories and auto maker Tata Motors witnessed a significant gain in their respective market capitalisation.
ADRs are bought and sold on American markets just like stocks and are issued by a bank or a brokerage firm. During the week, Dr Reddy's Laboratories emerged as a major gainer. The company saw its valuation rising by USD 244 million to USD 5.42 billion.
Meanwhile, outsourcing firm Genpact saw it market capitalisation falling by USD 212 million to a total of USD 3.55 billion. Another major gainer was Tata Motors whose valuations jumped by USD 135 million to USD 7.97 billion.
The market capitalisation of Mahindra Satyam (earlier known as Satyam Computer Services) rose by USD 88 million, telecom major Tata Communications USD 60 million and BPO company EXLService Holdings USD 6 million.
Other ADR that lost include internet firms-Sify Technologies and Reddif.com, BPO company WNS Holdings, copper producer Sterlite Industries, IT firm Patni Computer Systems and telecom major Mahanagar Telephone Nigam.
Their valuations declined in the range of USD 1 million to USD 99 million. On Friday, the US markets ended in a mixed trend, with Dow Jones Industrial Average settling down by 8.99 points at 10,143.81 and S&P 500 up by 3.07 points to 1,076.76. Besides, tech heavy Nasdaq ended up 0.27 points at 2,223.48.