The Hindu Business Line : Value buying seen in GTL Infra

Even when the stock market was in turmoil, the stock of GTL Infrastructure saw hectic accumulation on value buying. On Friday, the stock closed at Rs 37 against Thursday’s close of Rs 33.05, a gain of 11.95 per cent. About 24.57 lakh shares changed hands on the counter against its two-week average volume of 7 lakh shares. According to market players, the sale of 5 per cent in Reliance Telecom Infrastructure (RTIL) for Rs 1,400 crore has acted as a trigger for this co mpany, as players see potential value in companies in the telecom infrastructure space. The George Soros-promoted Quantum Fund is among the seven international investors that have together picked up a 5 per cent stake in Reliance Telecom Infrastructure Ltd.

Besides, with the rapid increase in tele-density and demand for enterprise-wide communication networks there is an opportunity for companies such as GTL Infrastructure that helped set it up. GTL Infrastructure stock turned ex-rights recently (on July 20); it announced 1:1 rights issue at par.

The stock’s 52-week high and low are Rs 62.10 and Rs 30.05 respectively.

K.S. Badri Narayanan

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