Upcoming IPO: Hexaware Tech Submits Draft Papers For Issue Worth Rs 9,950 Crore

The public listing will be a complete offer-for-sale (OFS) by the promoter, CA Magnum Holdings. The promoter, a Carlyle Group entity, controls a 95.03 per cent stake in the IT firm

The firm plans to list its shares on the BSE and the NSE.

Source : Upskillist

Hexaware Technologies submitted its draft papers for its initial public offering (IPO) with the Securities and Exchange Board of India (SEBI). Backed by private equity firm Carlyle Group, the company filed preliminary documents for its maiden offer worth Rs 9,950 crore with the capital markets regulator.

The public listing will be a complete offer-for-sale (OFS) by the promoter, CA Magnum Holdings. The promoter, a Carlyle Group entity, controls a 95.03 per cent stake in the IT firm, reported Financial Express.

The funds raised from the IPO would go directly to the selling shareholder instead of the firm. The company, based out of Mumbai, intends to benefit from listing the shares publicly. If successful, the maiden offering would be the largest in the Indian IT services sector since Tata Consultancy Services made a debut in the market with an IPO worth Rs 4,700 over two decades earlier.

The firm is a global digital and technology services provider and focused on artificial intelligence (AI). It caters to a variety of customers, such as 31 Fortune 500 firms spread across Europe, Asia-Pacific, India, the Middle East, and Americas.

Hexaware Technologies operates across six segments, namely, healthcare and insurance, financial services, hi-tech and professional services, banking, travel, manufacturing and consumer, and transportation. 

The company clocked a revenue of Rs 10,380 crore in the 2022-23 fiscal year (FY23) and a profit after tax of Rs 997 crore during the period. Meanwhile, for the six month ending June 30, 2024, the firm reported a revenue of Rs 5,684 crore and a profit after tax of Rs 553 crore.

The firm plans to list its shares on the BSE and the NSE. The issue is being managed by Kotak Mahindra Capital Company, Citigroup Global Markets India, JP Morgan India, HSBC Securities and Capital Markets (India), and IIFL Securities.