MPS Shares Jump As Subsidiary Acquires Majority Stake In Liberate Group
The remaining 35% shareholding of each of the entities will be acquired by MPS Interactive Systems Ltd. in subsequent tranches.
Shares of MPS Ltd. rose on Wednesday as its wholly owned subsidiary agreed to acquire a 65% stake in the entities of Australia-based Liberate Group for A$ 9.3 million or around Rs 50 crore.
The entities include Liberate Learning, Liberate eLearning, App-eLearn and Liberate Learning (New Zealand). The remaining 35% shareholding of each of the entities will be acquired by MPS Interactive Systems Ltd. in subsequent tranches, according to an exchange filing on Tuesday.
The MPS stock was trading 3.73% higher at Rs 1,574 per share in comparison to a 0.48% advance in the benchmark NSE Nifty 50 as of 10:41 a.m. The share price rose as much as 5.78% to an intra-day high of Rs 1,605 apiece.
The stock has risen 90.44% on a year-to-date basis. The total traded volume so far in the day stood at 0.7 times its 30-day average. The relative strength index was at 63.7.
An analyst tracking MPS maintains a 'buy' rating on the stock, according to Bloomberg data. The average of 12-month analyst price targets implies a potential downside of 6.9%.
