CMS Info Systems saw a significant uptick in its shares, surging by almost 7% at the opening of trading on March 1st, following the announcement that CEO Rajiv Kaul had increased his ownership in the company.
As of 9:40 am, the stock was trading at Rs 409.55.
In a post-market hours disclosure, CMS Info Systems revealed that Kaul had elevated his stake in the company from 2.6% to 6.2% by exercising his employee stock options (ESOPs).
In a statement, Kaul emphasized that the decision to increase his stake reflects both his personal commitment and the company’s dedication to expanding their offerings and maintaining their track record of robust growth and profitability. Just two days prior, promoter investor Sion Investment had divested its remaining stake and exited the company. Sion Investment, an affiliate of Hong Kong-based Baring Private Equity Asia, had initially acquired a stake in CMS Info Systems in August 2015 from Blackstone Private Equity and other shareholders.
In Q3FY24, CMS Info Systems posted a revenue of Rs 582 crore, marking a 19% increase from the corresponding period last year. The net profit also witnessed a growth of 14.91% to Rs 87 crore.
