Announcing the decision Usha Group chairman Vinay Rai said: "Half our stock is demat and this will enable small investors to reap the benefits of higher liquidity."

The board also approved unaudited financial results of the company for the third quarter ending February 29, 2000. The company has registered a 112 per cent increase in net profits to Rs 19.16 crore for the third quarter as against Rs 9.05 crore for the corresponding period last year.

ITIL also posted a 148 per cent rise in sales at Rs 64.50 crore. The company has surpased the net profit of Rs 36.53 crore and sales of Rs 123.46 crore achieved in the previous financial in the first nine months of the current year, said a release.

The sales and cumulative net profit for the first nine months of the current year are Rs 164.07 crore and Rs 48.19 crore, respectively.

During the current quarter, the company has made first grant of stock options to its employees under the employees stock option scheme (ESOS) at an exercise price of Rs 875 per share. Based on current market price, every software engineer in the company is worth atleast Rs 20 lakh, said the release.

In addition ITIL has major plans for tapping the burgeoning e-commerce market. The company is setting up an Internet service provider (ISP) in the next six months with an initial investment of Rs 70 crore. The company will also undertake a major revamp and relaunch its portal "myusha.com" in the future, added Rai.

The company is also in advanced stage of talks with US-based portals and is expected to announce strategic tie-ups soon. The company will also be opening more offices soon at other locations in US, besides a 100 per cent subsidiary ITIL Inc.