Please sell all your holdings in Mphasis and this stock will go down drastically. Although it has rebranded to Mphasis and HP compnay, clearly it is not directly under HP, but is under EDS.
EDS purchased Mphasis in 2007 and then HP purchased EDS in 2008. However, even then Mphasis was not part of the HP EDS intergration. Mphasis is just a single company in India. The rest of the world it is EDS and HP company.
Now HP is planning to buy/merge Mphasis too as one entity which the Mphasis management does not want and so to remain a separate entity, they are increasing the stock price so that the company becomes expensive for HP to purchase.
Now, HP can pressurize Mphasis mgmt to bring its price down and mostof the clients that Mphasis has was formely clients of EDS, which is now HP. So if HP threatens to pull back all their clients from Mphasis, Mphasis will be left with nothing....
so, the only choice left is to bring the stock price down and then have HP take over........
There is heavy institutional interest in this stock, retail investors are advised to hold on to the stock and contemplate exit post 1100/-, as the peak valuation of stock is quoted among investor circle at 1600+ levels!
I had 225 shares at 250/- which i sold at 408, and have re-entered at 615/- level.
Pls hold the stock and let the roller coaster ride take it to higher levels before we start to think about selling.
| NIFTY 
