Satyam Computer Services on Tuesday witnessed volatile movements in the morning trade, a day after the newly appointed board said its top priority is to restore confidence of customers, employees and investors.
Though the company witnessed a surge in early morning trade and touched an intra-day high of Rs 37 on the BSE, the stocks then moved southwards as profit-booking emerged at those levels, marketmen said.
The tainted software services firm then dipped to an intra-day low of Rs 32.35, a fall of 5.95 per cent on the BSE. Satyam was later quoted at Rs 33.50, down 2.62 per cent.
Marketmen said the board briefing might be seen as a booster dose for the short run but investors are worried as of now and want to exit from the stock and this is why profit taking emerged in the morning trade on this counter.
Satyam's new board on Monday decided to change top management, to seek advance from clients and explore all options, including merger, to salvage the company which is hit hard by Rs 7,800-crore scam and the resultant liquidity crunch.
Similar movement was witnessed on the National Stock Exchange where Satyam opened at Rs 32, a dip of 6.97 per cent over its previous close which is also its intra-day low of on the NSE. It was later trading at Rs 33.75, down 1.89 per cent.
Meanwhile, Prime Minister Manmohan Singh took a review of the developments of the company during his meetings with market regulator SEBI's Chairman C B Bhave and top government officials and directed the Cabinet Secretary K M Chandrasekhar to coordinate the action on the issue.
On the volume front, over 1.07 crore shares got traded on the BSE while nearly 2.32 crore shares got traded on the NSE.