By Malvika Gurung
Investing.com — Shares of the optical and broadband internet services provider Tejas Networks (NS:) closed 5% higher at Rs 470.45 apiece, hitting the upper circuit for the fourth consecutive session on Monday.
Ace investor Vijay Kedia holds a 3.4% equity stake or 39 lakh shares of the Tata Group stock, as of December 31, 2021.
The stock uptick has been fuelled after the networks company announced on Thursday of acquiring a majority stake in the semiconductor firm Saankhya Labs.
Tejas will buy a 64.4% stake in the Bengaluru-based semiconductor company for Rs 283.94 crore, in an all-cash deal, with the initial acquisition expected to close within the next three months.
Through this acquisition deal, Tata Group will foray into the semiconductor business, expanding its wireless product offerings to address growing market opportunities in the business.
Tejas Networks’ CEO stated that Saankhya’s products would complement the company’s existing 4G/5G Radio Access Network or RAN products, and position them well for the emerging opportunities in the O-RAN and 5G broadcast space.
Tejas Networks has 73 International patents, with 41 approved ones, and has a wide customer base spanning across the US, Europe, Asia and India.