Wipro gains after picking up minority stake in US-based startup

Wipro rose 0.66% to Rs 295.20 at 9:22 IST on BSE after the company said it invested $2.02 million in Avaamo Inc, an artificial intelligence-based conversational computing platform.

The announcement was made after market hours yesterday, 15 March 2018.

Meanwhile, the S&P BSE Sensex was down 162.48 points, or 0.48% to 33,523.06.

On the BSE, 4,824 shares were traded in the counter so far compared with average daily volumes of 7.39 lakh shares in the past two weeks. The stock had hit a high of Rs 296 and a low of Rs 294 so far during the day. The stock hit a 52-week high of Rs 334.75 on 16 January 2018. The stock hit a 52-week low of Rs 242.38 on 24 April 2017.

Wipro said the investment would give Wipro a minority stake of less than 20% on a fully diluted basis. In a regulatory filing, the company stated that it made strategic investment of $2.02 million in the current tranche. This along with further infusion of funds and conversion of convertible note issued earlier will take the total investment to $3.02 million, Wipro said in a BSE filing.

According to the company, the cash deal was completed on 14 March 2018. Headquartered at Los Altos in the US, the company is founded in 2014. Avaamo Inc provides an artificial intelligence (AI) driven enterprise bot platform that simplifies the time needed to design and deploy enterprise bots to corporate employees and their customers.

Wipro announced after market hours on 14 March 2018, that it signed a definitive agreement to divest its hosted data center services business to US-based Ensono, a leading hybrid IT services provider, for $405 million.

Wipro's consolidated net profit fell 11.85% to Rs 1930.10 crore on 1.82% growth in net sales to Rs 13669 crore in Q3 December 2017 over Q2 September 2017.

Wipro is a leading global information technology, consulting and business process services company.

Powered by Capital Market - Live News