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ADRs too feel the heat

June 14, 2006 11:18 IST
By Deepak Korgaonkar in Mumbai

Over 80 per cent of the American depository receipts of Indian companies are trading at their six-month lows. Most of them have declined between 14 per cent and 43 per cent from their month-ago prices.

Of 12 Indian companies listed on the New York Stock Exchange, 10 are trading at six-month lows. The list includes Infosys Technologies, HDFC Bank, ICICI Bank, MTNL, Rediff.com, Satyam Computer Services, Satyam Infoway, VSNL, Patni Computer Systems and Wipro. Two other ADRs -- Tata Motors and Dr Reddy's Laboratories -- closed at their four-month lows on the NYSE on Monday.

The Infosys Technologies ADR closed at $66.76 on Monday, down 19 per cent in a month from $82.42 on May 9. The ADR hit its 52-week high of $84.78 on April 17.

The Wipro ADR closed at $10.76, down 24 per cent from $14.09 and Satyam Computer Services declined 21 per cent to $29.39 ($37.11).

The Patni Computer Services ADR closed at its all-time low price of $14.65 on Monday, down over 40 per cent from its all-time high price of $25.10. It was listed in December last year.

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Deepak Korgaonkar in Mumbai
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