• Source:JND
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IT Stock Under Rs 30: Shares of small-cap IT company Blue Cloud Softech Solutions Ltd remained in focus during the intraday trade on Wednesday after the company said that it signed a Memorandum of Understanding (MoU) with GCIB for Africa Ltd to develop 'digital factories' and technology-based projects in Senegal and other African countries.

Following the announcement, the stock started the session in positive territory at Rs 19.51 as compared to the last day's closing of Rs 19.26. The IT shares extended the momentum further to hit an intraday high at Rs 19.73 on BSE, up nearly 2.5 per cent from last day's closing. Meanwhile, it's 52 week high and low values stood at Rs 38 and Rs 16.32, respectively.

However, the stock felt selling pressure in the afternoon trade. At the time of writing, the Blue Cloud shares were trading at Rs 19.09, down Rs 0.17 or 0.88 per cent.

Company Signs MoU

In a stock exchange filing, the company said the two companies will form joint ventures (JVs) or special purpose vehicles (SPVs) to work in sectors such as information technology, infrastructure, healthcare, renewable energy and education.

Under the MoU, the company will work with the government and private organisations to strengthen digital services and infrastructure.

In a stock exchange filing, the company said it will handle technology, artificial intelligence (AI), cybersecurity and project execution, while GCIB will assist in government approvals, local networks and capital raising.

Share Price History

Over a long period, the stock has given a decent return. In the last five years, the IT stock jumped by over 280 per cent. However, in a year it jumped merely 12 per cent. This year till date, the stock has fallen nearly 10 per cent, and in the last six months, the stock has corrected over 30 per cent. In the last 30 days, the stock rose by over 5 per cent.

Also Read: Stock Market Today: Equity Indices Rebound In Early Trade; Sensex Up 390 Points

Acquisition update

Recently, the company informed that its board gave approval to the acquisition of a 100 per cent stake in Global Impx Inc. (GIX). The deal is an entirely equity-based agreement, meaning the company will not have to immediately put any cash on hand. The company believes the acquisition will accelerate its focus on becoming a technology-driven infrastructure company at the confluence of artificial intelligence, clean energy and digital infrastructure.

Disclaimer: This story is for informational purposes only. It should not be considered as investment advice.


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