Orchid slumps 39% on talk of forex derivatives loss

[Sukumar]

Orchid Chemicals and Pharmaceuticals shares slumped 39% to
end the day at 127.30 rupees on talk the company has incurred heavy
losses due to exposure to some foreign exchange derivative
transactions.

A domestic brokerage dealer said, "I have heard that Schroeder's
Capital was a major seller through Macquarie Securities."
The loss, apparently from derivative transactions, is
expected to be around 900 mln rupees.

some Indian companies are likely to file legal cases against select
banks for not disclosing risks associated with forex derivative
products also caused investors to panic.

N.Sukumar
Research Analyst
www.kences.1blogspot.com