Financial Tech shares recover; up over 40%

FTIL-promoted MCX shares were locked in lower circuit as they shed 10 per cent.

Shares of Financial Technologies India today made a smart recovery,surging over 40 per cent,after suffering sharp losses over the previous two sessions. Despite making a weak opening,shares of FTIL rebounded as the trade progressed and jumped 40.16 per cent to Rs 212 at the BSE. FTIL’s scrip had slumped 72 per cent over the last two days amid problems at group entity National Spot Exchange Ltd (NSEL).

However,FTIL-promoted MCX shares were locked in lower circuit as they shed 10 per cent. The troubled NSEL yesterday said it is committed to ensure proper settlement of all outstanding obligations but will resume operations only after the commodity regulator FMC issues guidelines for the spot exchanges.

“The Exchange is fully committed to ensure proper settlement of all outstanding obligations and to comply with the directions issued by the government in this regard and to settle all issues as per rules and bylaws of the Exchange. We will commence trading operations once new regulations by FMC are in place,” NSEL MD and CEO Anjani Sinha had said yesterday.

The exchange officials and market participants held the meeting with Forward Markets Commission (FMC) officials yesterday to resolve the issue of settlement,Sinha had said. A major crisis erupted at National Spot Exchange last week after it suspended most trades on its platform on the issue of settlement,prompting the government to order an enquiry by the commodity regulator FMC. Sebi,on its part,also initiated a separate probe amid a crash in shares of two listed group companies.