Mastek subsidiary Majesco locked in upper circuit on debut
The Majesco, a demerged entity of Mastek today got listed on both the BSE & NSE and its shares locked in upper circuit at Rs 325.50 on Wednesday (19th August) on its debut. It was listed at Rs 310 in the BSE. However, it was a disappointing debut as the traders expected a listing of the company around Rs 400.
The shares of its parent company Mastek also surged almost 5 per cent and touched fresh one year high of Rs 225 on Wednesday. However, shares of the Mastek touched a day low of Rs 203.10 during afternoon session.
Earlier, Mastek demerged its insurance products and services business into Minefields Computers Private Ltd. (MCPL). Further, MCPL executed slump sale of offshore insurance operations to Majesco Software and Solutions India Private Ltd. (MSSIPL). Now the MCPL is renamed as Majesco Ltd. (Majesco) and proposed to list on the BSE and NSE. Majesco will constitute insurance product and service business of Mastek and Mastek will continue to carry on the solution business. Further, the transferred offshore insurance operation business will be conducted by MSSIPL which will be a wholly owned subsidiary of MajescoMastek Insurance Software and Solution Inc. (MMISS).
Insurance Products and Services Business means the entire undertaking of Mastek pertaining to its insurance products and services business and includes all assets (whether moveable or immoveable) and liabilities pertaining to the insurance products and services business including but not limited to the India Insurance Business and the Offshore Insurance operations. Offshore Insurance Operations means the global delivery center which is part of the Insurance Products and Services Business and includes all assets (whether moveable or immoveable) and liabilities pertaining to the Offshore Insurance Operations.
Mastek shares rallied over 60 per cent since demerger announcement of its Insurance products and services business. Mastek issued shares of Majesco to all existing shareholders in the ratio of 1:1.