Investor Issues
Cranes Software could be delisted; governance issues surface

The company’s shares are set to be delisted from the NSE due to non-compliance of listing agreements

Bengaluru-based software products provider Cranes Software International Ltd has been repeatedly postponing its announcement of financial results for the past two quarters. This has caused consternation among institutional investors who suspect Cranes could go the way of dubious software companies like Satyam Computer, Silverline Industries, Pentamedia and Prithvi Infosolutions.

On 27 April 2010, the company sent a notice to the Bombay Stock Exchange (BSE) that it would publish the audited results for the year ended 31 March 2010 before 30 May 2010. But on 22 June 2010, the company told the BSE that it has not received audited results from its overseas subsidiaries and so its results have been delayed. Cranes has not published its year ended 31 March 2010 and its Q1 results yet. An email query sent to the BSE and the company did not elicit a response until the time of writing this article.

The company's shares will be suspended from trading on the National Stock Exchange (NSE) from 3 September 2010 due to non-compliance of listing agreements. The company failed to satisfactorily respond to the NSE.

Cranes reported Rs84.8 crore consolidated revenues in Q3 FY10. The company derived 94% of its revenues from its international operations while 6% was contributed by its domestic operations. Its domestic revenues stood at Rs4.96 crore while international revenues were at Rs79.89 crore. It reported a consolidated net loss of Rs1.43 crore and paid Rs15.13 crore as interest in the third quarter of FY10. The stock was trading at Rs11.35 at the time of writing.

Asif Khader, managing director, Cranes Software International, while announcing the company's results had said, "The last few quarters have been the most challenging for Cranes from an operational perspective. In particular, high debtor days as result of the global recession had squeezed cash flows and affected business from exports. To overcome these difficulties, the management has initiated direct sales from its subsidiaries, thus considerably increasing our subsidiary revenues and reducing the going forward collection period. On the domestic front, the company has lost significant revenue in the third-party business; the reason for this loss was because The MathWorks Inc, which is the parent company of MATLAB, decided to set up (its) own operations in India."

Cranes Software is supposed to be a specialised, high-end software company focused on statistical analytics and engineering simulation. Foreign investors hold 13.51%; promoters hold 14.52% and public shareholders hold 85.48% of the equity.




6 years ago

At least make sure that shareholding pattern adds to 100.
Foreign incestor - 13%
Promoter - 14%
Public - 85%
total - 112%

Makes no sense... shows your groundwork in writing articles

devendra k chouhan

7 years ago

i have 200 shres of cranes software in nse of the purchase of 34 rupees,should it be gateble or not as it is delisted from nse

Er SS Hari

7 years ago

KURUTO fund was holding big chunk and they have dumped all 8.64 lac shares.Angel broking had come with a research report dated 31 oct 08 with target price of 106.Angel holds 1.2 percent shares.Religare also holds 1.2 percent.Allahabad bank and J&K bank also hold 1.2 percent each.foreign investors are very sensitive to governance issues..they threw earlier Prajay Engineer from 380 levels to 12 levels now it is around 30 stagnant.most brokerage house research reports are published when stock is at peak impressing investors it has entered unchartered territory can go to sky.this is drama to prepare exit route for biggies.indian market is casino for biggies and small investors keep quite about losses as they had done that investment keeping secret from their wives as indian ladies are against risk taking by for as cranes is concerned confusion is at peak indian traders will be making money by churning it daily in lacs here and there.after few days they will also dump to public and then no takers like birla power inspite of full page advertisements in all pink papers.let us hope for the is also suggested that in your magazine tutorial chapter on tech analysis and market strategies be added.


7 years ago

tnks moneylife for the writeup on cranes
the following 4 companies also make for inteersting mini satyams
kgn industries this is by no means small it has as of 31-8-2010 a mcap of 1 billion us dollars
minal industries
mavens industries and
beckons industries


7 years ago

sebi must bring the promoters of the cranes soft under trial. suspension must be revoked till the completion of trial.

ErSS Hari

7 years ago

the stock had earler daily high volume and JMP Sec was the main market maker even now they hold 11.3 percent.Goldmansach and Copthall sold 1.2 crore shares.on a hindi business channel one day in flash news said co is almost sure to get nucleur energy sector orders stock that flashed within minutes 29 to 33 levels and within two hours FIIs was a channel reporters are the biggest culprits for small investor trappings.ZEE business and AWAZ are now even playing matches daily morning and innocent investors lose daily.onlybld editors like Madam Sucheta Dalal can expose the game which has wider ramifications.see the price fluctuations in ramanewsprint bagfilms karuturi ksera dcw hfcl northgatetech tricom vishalinfo fcs birlapower wirewire it is all looting game by ring traders with help of media so called TV channels.

Ramachandra Pai

7 years ago

The share holding pattern mentioned adds up to 113%...According to BSE India, it is Foreign investors hold 13.51%; promoters hold 14.52% and public shareholders hold 64.95% of the equity and DIIs another 7.02%

Lalitha Viswanathan

7 years ago

JBF Industries Ltd has so far made no announcement about holding AGM although they have declared Dividend and record dates for the same.

This is worth checking.

Greatship’s subsidiary takes delivery of platform/ROV support vessel

Great Eastern Shipping Company Ltd said its Singapore-based subsidiary Greatship Global Offshore Services Pte Ltd has taken delivery of 'Greatship Ramya', a platform/ROV support vessel, from Colombo Dockyard PLC, Sri Lanka.

Greatship Ramya is a DP2 vessel, capable of supporting offshore exploration and production, the company said in a statement.

On Friday, Great Eastern Shipping shares declined 0.40% down at Rs299 on Bombay Stock Exchange, while the benchmark Sensex ended 1.25% down at 17,998 points.


Strides Arcolab allots equity shares

Pharma company Strides Arcolab Ltd said it has allotted 3,220,000 fully paid equity shares of Rs10 each to Agnus Holding, a promoter group company, against conversion of warrants at a price of Rs91.15 per share.

Consequent to the above allotment, the paid up equity share capital of the company has increased from Rs43.70 crore consisting of 43,701,138 equity shares of Rs10 each to Rs46.92 crore consisting of 46,921,138 equity shares of Rs10 each.

On Friday, Strides Arcolab shares closed 2.35% down at Rs415 on Bombay Stock Exchange, while the benchmark Sensex ended 1.25% down at 17,998 points.


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