Mumbai, Sept. 4: Share prices of Videsh Sanchar Nigam (VSNL) plumbed a 52-week low amid concerns the government was thinking of allowing Bharat Sanchar Nigam (BSNL) and Mahanagar Telephone Nigam (MTNL) to offer international call services soon.
The scrip opened at Rs 113.55, sank to Rs 107.15, but later recovered marginally to end the session at Rs 113.15, still a per cent lower compared with its previous close.
Dealers said the stock has been under pressure over the past few days, the mood dampened by reports that the Tatas are not happy with the way things are turning out for the one-time state-owned phone carrier. The hiccups come close on the heels of the controversy over VSNL’s investment in Tata Teleservices. Things have been made tougher by fears about the premature end of monopoly in foreign telephony.
Stocks bounce back
Meanwhile, riding piggyback on late purchases by foreign institutional investors (FIIs), stocks bounced back from their intra-day low and a few heavyweights even posted handsome gains aiding the sensex to end higher by about 14 points on the Bombay Stock Exchange (BSE) today.
Initially, share prices dropped sharply on heavy selling by investors triggered by an overnight stocks crash following a series of negative developments on American markets.