Hexaware Technologies Returns to Stock Market with AI-Focused IPO

Hexaware Technologies IPO listing today. What GMP signals ahead of debut?

Hexaware Technologies is set to debut on NSE and BSE amidst cautious investor sentiment as indicated by a 0% grey market premium. The IPO saw a subscription rate of 2.66 times, featuring an Offer for Sale (OFS) of 12.35 crore shares. Analysts recommend long-term investment due to attractive valuations and Hexaware's strong financial growth driven by AI adoption.Hexaware Technologies shares are set to make a debut on the NSE and BSE platforms on Wednesday. However, the grey market premium (GMP), ahead of the listing, has vanished to stand at 0%. Thus, the GMP indicates subdued demand and cautious sentiment among investors as the absence of any premium highlights the uncertainty surrounding the stock's performance post-listing. However, it is important to note that grey market premiums are just an indicator as to how the company's shares are stacked up in the unlisted market and are subject to change rapidly. The GMP only serves as an indicator of demand for a company's shares. A higher GMP reflects strong investor interest in the IPO, while a low or negative GMP suggests subdued demand. The IPO of Hexaware Technologies witnessed a decent response with the overall subscription reaching 2.66 times at the end of the bidding process. Hexaware Technologies, which was delisted from the exchanges in 2020, is set to re-enter the public markets with its IPO, comprising an Offer for Sale (OFS) of 12.35 crore shares. As the IPO is entirely an OFS, all proceeds from the issue will go to the selling shareholders. This will mark the largest fundraising by any IT services company in India, surpassing TCS's Rs 4,700 crore IPO two decades ago. Analysts have recommended subscribing to the IPO from a long-term perspective, citing attractive valuations and the company's strong financial growth driven by AI adoption, which holds significant future potential. The company is valued at a CY24E P/E of 37.6x, based on the upper price band and post-issue capital, making it relatively cheaper compared to its industry peers. "Hexaware leverages AI to build solutions for its clients driving improvement in productivity and gains in utilization. It has a healthy cash balance of Rs 1,346 crore as of September 2024. We recommend subscribing to the issue at the cut-off price with a long-term investment horizon," said SBI Securities. Hexaware Technologies is a global digital and technology services company centered around artificial intelligence (AI). The company provides innovative solutions for customers' digital transformation journeys and ongoing operations, embedding AI into all aspects of its services. The company operates in six industry segments: financial services, healthcare and insurance, manufacturing and consumer, hi-tech and professional services, banking, and travel and transportation. (Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)

Hexaware Technologies IPO subscribed 16% so far on Day 3: Check GMP, price band and other details

The initial public offering (IPO) of Hexaware Technologies, which opened for public bidding on February 12, had an overall subscription of 16% as of 10:36 AM on the final day of bidding on Friday. The company aims to raise Rs 8,750 crore through the IPO, with the issue closing on February 14. The retail portion of the issue was subscribed by 7%, while the issue was subscribed by 4% in the non-institutional investors category on the final day of bidding. Meanwhile, the qualified institutional buyers had subscribed to 39% of the allotted portion. Hexaware Technologies, which got delisted from the exchanges in 2020, is tapping the public markets once again through its IPO, which is an offer for sale (OFS) of 12.35 crore shares. Ahead of the issue opening, the company raised Rs 2,598 crore from anchor investors. Marquee investors include SBI MF, HDFC MF, AXIS MF, ICICI Prudential MF, ADIA, Goldman Sachs among others. Ahead of listing, the company's shares were trading with a GMP of Rs 2 in the unlisted market on Friday, indicating a premium of just 0.3% over the upper end of the IPO price band of Rs 708. Since the IPO is entirely an OFS, all the proceeds from the offer will go to the selling shareholders. The amount raised by the company will be the biggest by any IT services company in India, even surpassing TCS, which raised Rs 4,700 crore 20 years ago. The company has fixed a price band of Rs 674-708 per share, where investors can bid for 21 shares in one lot and in multiples thereafter. Analysts advised investors to subscribe to the IPO from a long term perspective as the valuations are cheap and the company has shown strong financial growth leveraging AI, which has immense potential going forward. The company is valued at CY24E P/E of 37.6x, based on the upper price band on the post-issue capital, which is relatively cheaper than its peers. "Hexaware leverages AI to build solutions for its clients driving improvement in productivity and gains in utilization. It has a healthy cash balance of Rs 1,346 crore as of September 2024. We recommend subscribing to the issue at the cut-off price with a long-term investment horizon," said SBI Securities. Hexaware Technologies is a global digital and technology services company centered around artificial intelligence (AI). The company provides innovative solutions for customers' digital transformation journeys and ongoing operations, embedding AI into all aspects of its services. The company operates in six industry segments: financial services, healthcare and insurance, manufacturing and consumer, hi-tech and professional services, banking, and travel and transportation. Its offerings include design and build, secure and run, data and AI, optimize, and cloud services. Hexaware serves clients across the Americas, Europe, and the Asia-Pacific region, including India and the Middle East. The company has a diversified revenue mix in terms of industries. Hexaware's dollar revenue and rupee revenue have grown at a CAGR of 14% and 20%, respectively over CY21-23 with stable EBIT margin. Also read | Tejas Cargo IPO: Check GMP, price band, subscription and other details (Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)

Hexaware Technologies IPO subscribed 4% so far on Day 2: Check GMP, price band and other details

The initial public offering (IPO) of Hexaware Technologies, which opened for public bidding on February 12, had an overall subscription of 4% as of 12:00 pm on the second day of bidding on Thursday. The company aims to raise Rs 8,750 crore through the IPO, with the issue closing on February 14. The retail portion of the issue was subscribed by 5%, while the issue was subscribed by 2% in the non-institutional investors' category on the second day of bidding. Meanwhile, the qualified institutional buyers had subscribed to 4% of the allotted portion. Hexaware Technologies, which got delisted from the exchanges in 2020, is tapping the public markets once again through its IPO, which is an offer for sale (OFS) of 12.35 crore shares. Ahead of the issue opening, the company raised Rs 2,598 crore from anchor investors. Marquee investors include SBI MF, HDFC MF, AXIS MF, ICICI Prudential MF, ADIA, Goldman Sachs. Ahead of listing, the company's shares were trading with a GMP of Rs 3 in the unlisted market on Thursday, indicating a premium of just 0.4% over the upper end of the IPO price band of Rs 708. Since the IPO is entirely an OFS, all the proceeds from the offer will go to the selling shareholders. The amount raised by the company will be the biggest by any IT services company in India, even surpassing TCS, which raised Rs 4,700 crore 20 years ago. The company has fixed a price band of Rs 674-708 per share, where investors can bid for 21 shares in one lot and in multiples thereafter. Analysts advised investors to subscribe to the IPO from a long-term perspective as the valuations are cheap and the company has shown strong financial growth leveraging AI, which has immense potential going forward. The company is valued at CY24E P/E of 37.6x, based on the upper price band on the post-issue capital, which is relatively cheaper than its peers. "Hexaware leverages AI to build solutions for its clients driving improvement in productivity and gains in utilization. It has a healthy cash balance of Rs 1,346 crore as of September 2024. We recommend subscribing to the issue at the cut-off price with a long-term investment horizon," said SBI Securities. Hexaware Technologies is a global digital and technology services company centered around artificial intelligence (AI). The company provides innovative solutions for customers' digital transformation journeys and ongoing operations, embedding AI into all aspects of its services. The company operates in six industry segments: financial services, healthcare and insurance, manufacturing and consumer, hi-tech and professional services, banking, and travel and transportation. Its offerings include design and build, secure and run, data and AI, optimize, and cloud services. Hexaware serves clients across the Americas, Europe, and the Asia-Pacific region, including India and the Middle East. The company has a diversified revenue mix in terms of industries. Hexaware's dollar revenue and rupee revenue have grown at a CAGR of 14% and 20%, respectively, over CY21-23 with stable EBIT margin. Also read | LK Mehta Polymers IPO opens today: Check price band, GMP, key dates and other details (Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)

Hexaware Technologies' D-Street return sets IPO record for any IT company. Should you subscribe?

Hexaware Technologies, which got delisted from the exchanges in 2020, is tapping the public markets once again to raise around Rs 8,750 crore. The IPO, which is an offer for sale (OFS) of 12.35 crore shares, will open for subscription today and close on February 14. Since the IPO is entirely an OFS, all the proceeds from the offer will go to the selling shareholders. The amount raised by the company will be the biggest by any IT services company in India, even surpassing TCS, which raised Rs 4,700 crore 20 years ago. Ahead of the issue opening, the company raised Rs 2,598 crore from anchor investors. Marquee investors include SBI MF, HDFC MF, AXIS MF, ICICI Prudential MF, ADIA, Goldman Sachs among others. The company has fixed a price band of Rs 674-708 per share, where investors can bid for 21 shares in one lot and in multiples thereafter. Ahead of the issue opening, the GMP is around Rs 3.5, which is 0.5% premium over the IPO price. Analysts advised investors to subscribe to the IPO from a long term perspective as the valuations are cheap and the company has shown strong financial growth leveraging AI, which has immense potential going forward. The company is valued at CY24E P/E of 37.6x, based on the upper price band on the post-issue capital, which is relatively cheaper than its peers. "Hexaware leverages AI to build solutions for its clients driving improvement in productivity and gains in utilization. It has a healthy cash balance of Rs 1,346 crore as of September 2024. We recommend subscribing to the issue at the cut-off price with a long-term investment horizon," said SBI Securities. Hexaware Technologies is a global digital and technology services company centered around artificial intelligence (AI). The company provides innovative solutions for customers' digital transformation journeys and ongoing operations, embedding AI into all aspects of its services. The company operates in six industry segments: financial services, healthcare and insurance, manufacturing and consumer, hi-tech and professional services, banking, and travel and transportation. Its offerings include design and build, secure and run, data and AI, optimize, and cloud services. Hexaware serves clients across the Americas, Europe, and the Asia-Pacific region, including India and the Middle East. The company has a diversified revenue mix in terms of industries. Hexaware's dollar revenue and rupee revenue have grown at a CAGR of 14% and 20%, respectively over CY21-23 with stable EBIT margin. (Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)

Hexaware Technologies raises Rs 2,598 crore from anchor investors ahead of IPO

Hexaware Technologies has raised Rs 2,598 crore from anchor investors ahead of its IPO, which opens today and closes on February 14. The company's IPO price band is set at Rs 674-708 per share. Analysts recommend subscribing to the IPO for long-term growth, as Hexaware leverages AI to drive productivity and has shown strong financial performance.Hexaware Technologies has raised Rs 2,598 crore from anchor investors ahead of its IPO, which opens for subscription today and closes on February 14. The company informed the bourses that it allocated 3.66 crore shares at Rs 708 apiece, the upper price band. Of the total 3,66,94,914 equity shares allotted to anchor investors, 1,31,55,849 shares (35.85% of the anchor allocation) were allotted to 15 domestic mutual funds across 34 schemes. Additionally, domestic mutual funds subscribed to approximately 52.61 lakh shares, making up 24% of the anchor book. Key investors in the anchor round include SBI MF, HDFC MF, Axis MF, ICICI Prudential MF, Kotak Mahindra MF, UTI MF, Mirae AMC, HSBC MF, Fidelity Funds, Abu Dhabi Investment Authority, Goldman Sachs Funds, J.P. Morgan Funds, ICICI Prudential Life Insurance, and CLSA Global Markets. Also Read: Stocks in news: HAL, Ashok Leyland, Vodafone Idea, IRCTC, TVS Motor The company has set a price band of Rs 674-708 per share, with a minimum lot size of 21 shares, and bids to be placed in multiples thereafter. Ahead of the issue opening, the grey market premium (GMP) stood at around Rs 4-5, reflecting a 1% premium over the IPO price. Analysts have advised investors to subscribe to the IPO from a long-term perspective, as the valuations are attractive. The company has demonstrated strong financial growth by leveraging AI, which holds immense potential going forward. The company is valued at a CY24E P/E of 37.6x, based on the upper price band on the post-issue capital, which is relatively cheaper than its peers. "Hexaware leverages AI to build solutions for its clients, driving productivity and utilization improvements. It has a healthy cash balance of Rs 1,346 crore as of September 2024. We recommend subscribing to the issue at the cut-off price with a long-term investment horizon," said SBI Securities. Also Read: Hyundai joins Global Standard Index; IndusInd sees weight increase Hexaware Technologies is a global digital and technology services company centered around artificial intelligence (AI). The company provides innovative solutions for customers' digital transformation journeys and ongoing operations, embedding AI into all aspects of its services. The company operates in six industry segments: financial services, healthcare and insurance, manufacturing and consumer, hi-tech and professional services, banking, and travel and transportation. Its offerings include design and build, secure and run, data and AI, optimization, and cloud services. Hexaware serves clients across the Americas, Europe, and the Asia-Pacific region, including India and the Middle East. The company has a diversified revenue mix in terms of industries. Hexaware's dollar and rupee revenues have grown at a CAGR of 14% and 20%, respectively, over CY21-23, with a stable EBIT margin. (Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)