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Unlisted shares of Hexware Technologies Limited are currently trading in the gray market at Rs 711.5, which is only 0.49 percent premium at an upper IPO price of Rs 708.
Hexware Technologies IPO.
Hexware Technologies IPO: The initial public offering of Hexware Technologies Limited has been opened for public membership on Wednesday, February 12. It will be closed on 14 February. The price band of IPO of 8,750 crore has been fixed from Rs 674 to Rs 708. On the first day of the bidding till 5:00 pm, IPOs of Rs 8,750 crore received a bids of 0.04 times for 31,69,67 shares, against the proposal against 8,70,25,526 shares.
As soon as the IPO starts, its GMP remains low at 0.49 percent, indicating a flat or negative return for investors.
The three -day IPO opens on Wednesday, even domestic equity markets have decreased by about 1 percent.
Hexware’s IPO will be the largest in the country’s IT service sector as Tata Consultancy Services had an initial public offer of over Rs 4,700 crore two decades ago. The previous promoter of Hexware, Burning Private Equity Asia, removed the company in 2020. Nearly a year after development, the Carlile Group acquired the stake of Private Equity Asia in the company in October 2021.
Hexware Technologies IPO GMP
According to Market Observer, unrestaded shares of Hexware Technologies Limited are currently trading in the gray market of Rs 711.5, which is only 0.49 percent premium at an upper IPO price of Rs 708. This indicates a flat or negative return for investors in February. 19, Listing date.
GMP is based on market sentiments and changes. ‘Gray Market Premium’ indicates the readiness of investors to pay more than the issue price.
Hexware Technologies IPO: Should you apply?
Although the GMP signal subdued the returns for investors, most brokerage firms granted ‘membership’ to the IPO for a longer period. What they say here:
Anand Rathi Share and Stock Brokers
Anand Rathi said that the hexware technologies business has developed in the last decade, with prasad, large and diverse customer base, comprehensive global distribution footprint and high attention to innovation and technology. Its expertise is further supplemented by a mixture of strategic and industry-focused partners, such as Services, Human Resources, IT, Customer Services, Security and Finance, and Backbase, a banking financial technology provides an AI-managed solution for various commercial functions like a banking financial technology Is. Company in the Netherlands.
“The upper price band is returning to the post point points of equity shares and a total assets of 22.8 per cent in the band company with a market cap of Rs 430,247 million. On the evaluation front, we believe that the company has a significant price. Thus, we recommend a ‘subscribe’ rating to the IPO, “it was added.
HDFC securities
“The company provides comprehensive services and solutions to customers in six industries (each of which is an operating segment): Financial services, healthcare and insurance, manufacturing and consumer, high-tech and professional services, banking and travel and transport,” HDFC securities said in an IPO note.
Company services take advantage of deep expertise in understanding of customers’ requirements to refer to a broad portfolio, intensive domain knowledge, and the use of various technologies and to help customers develop their digital change strategies.
Vanchura
In its IPO note, brokerage firm Ventura said, “Economically, HTL has shown continuous revenue and profit growth, with 13.7 percent CAGR (7.3 percent industry industry in FY12-23 to 13.7 percent CAGR (USD conditions). The increase has been performed better. It posted a net profit of Rs 997.6 crore in CY23 and Rs 853.3 crore in 9m -CY24, with a stable pat margin 9.6 percent -10 percent. 37.8–43.1x P/E, which makes it look perfectly valuable.
Major concern
Hexware works in a highly competitive IT service industry, facing competing with large global firms as well as medium-sized players. The tendency to consolidate the industry presents a challenge, as large competitive can offer bundle services and apply pricing pressure. Economic ups and downs in major markets, especially in the US and Europe, also affect the IT budget, which potentially affect the demand for hexware services. In addition, the currency exchange rate variation generates a financial risk, as the company earns revenue in many currencies, increasing the cost of Indian rupees, Anand Rathi said.
Hexware technologies IPO major dates
Hexware technologies IPO will be open for public membership between February 12 to February 14. Its allocation will be finalized on February 17, while its listing will be on both BSE and NSE on 19 February.
Hexware Technologies IPO Price and Lot Size
Its value has been fixed at Rs 674 to Rs 708 per share. For retail investors, the minimum size for one application is 21. Therefore, the minimum amount of investment required by retail investors is Rs 14,868.
The minimum lot of lot size investment for small NIIs is 14 lots (294 shares), which is Rs 2,08,152, and for Big NII, it is 68 lots (1,428 shares), which is Rs 10,11,024.
Hexware Technologies IPO Kota
The company has reserved half of the issue for qualified institutional buyers, 35 percent for retail investors and remaining 15 percent for non-institutional investors.
Hexware Technologies IPO: More details
At the upper-end of the price band, the company costs more than Rs 43,000 crore.
The initial share-selling company of the Mumbai headquarters is a full proposal of Rs 8,750 crore by Promoter CA Magnum Holdings.
Currently, CA Magnum Holdings has a 95.03 percent stake in the IT company.
Since the entire issue is OFS, all income from the IPO will go directly to the shareholder selling instead of the company.
Next to the IPO, Hexware Technologies Limited. 2,598 crores from anchor investors.
Hexware Technologies at its core is a global digital and technology service company with Artificial Intelligence (AI) and a diverse category of customers including 31 of Fortune 500 organizations. It serves customers in America, Europe and Asia-Pacific (including India and Middle East).
For the nine months ending September 2024, the net profit of the company was Rs 853.3 crore and revenue was Rs 8,820 crore.
Kotak Mahindra Capital Company Limited, Citigroup Global Markets India Private Limited, JP Morgan India Private Limited, HSBC Securities and Capital Markets (India) Private Limited and IIFL Securities Limited are responsible for the book-ringing lead manager responsible for the management of the company.
