Back with a bang! Hexaware Technologies returns as India's largest IT IPO

The public offering of Hexaware Technologies will also become the largest IPO by an Indian IT services company, surpassing the previous record held by TCS, which raised Rs 4,713 crore in its 2004 IPO

Hexaware Technologies IPO: Hexaware Technologies is set to return to the stock market with its Rs 8,750 crore public offering, following its delisting from the bourses in September 2020. The initial public offering (IPO) of Hexaware Technologies will also become the largest IPO by an Indian IT services company, surpassing the previous record held by Tata Consultancy Services (TCS), which raised Rs 4,713 crore in 2004 from its public offering.

 

As investors await the opening of the public offering, scheduled for Wednesday, February 12, 2025, here are the key details of the Hexaware Technologies IPO, as per the Red Herring Prospectus (RHP) filed by the company:

 

Hexaware Technologies IPO size

The IPO comprises an entire offer for sale (OFS) of 123.6 million equity shares. Notably, promoter CA Magnum Holdings, which holds 577,604,202 equity shares, representing 95.03 per cent of the company, is divesting its partial stakes via the public offering.

 

Hexaware Technologies IPO Price band, lot size

Hexaware Technologies IPO will be available with a price band of Rs 674-708 per share, and a lot size of 21 shares. Accordingly, investors can bid for a minimum of 21 shares and in multiples thereof.

 

Retail investors need a minimum of Rs 14,868 to bid for one lot, comprising 21 shares. For a maximum bid within the Rs 1,93,284 limit, retail investors can apply for up to 13 lots, or 273 shares.

 

Hexaware Technologies IPO grey market premium (GMP)

As of Friday, February 7, 2025, the shares of Hexaware Technologies were trading at Rs 727 apiece in the grey market, reflecting a premium of Rs 19 or 2.68 percent over the upper price band of Rs 708, revealed sources tracking unofficial market activities.

 

Hexaware Technologies IPO allotment, listing date

The public subscription window for the IPO will close on Friday, February 14, 2025. The basis of allotment of Hexaware Technologies IPO shares is expected to be finalised on Monday, February 17, 2025, with shares credited to investors' demat accounts by Tuesday, February 18, 2025.

 

Hexaware Technologies shares are likely to list on BSE and NSE on Wednesday, February 19, 2025.

 

Hexaware Technologies IPO registrar, lead managers

Kfin Technologies is the registrar for the IPO. The book-running lead managers for the issue are Kotak Mahindra Capital Company, Citigroup Global Markets India, J.P. Morgan India, HSBC Securities & Capital Markets, and IIFL Securities.

 

Hexaware Technologies IPO objective

Hexaware Technologies will not receive any proceeds from the offer. "All proceeds from the offer will go to the Promoter Selling Shareholder, in proportion to the equity shares offered by them in the Offer for Sale," said Hexaware Technologies in its RHP.

 

Hexaware Technologies financial details

Hexaware Technologies reported revenue of Rs 8,820 crore for the nine months ended September 30, 2024, up from Rs 7,764.30 crore in the same period last year.

 

The company’s total expenses for the nine months ended September 30, 2024, stood at Rs 7,728 crore, up from Rs 6,734 crore during the same period last year.

 

Hexaware Technologies profit for the nine months attributable to the shareholders of the company for the period ended September 30, 2024, stood at Rs 857.5 crore, compared to Rs 804.8 crore in the same period last year.

 

About Hexaware Technologies

Hexaware Technologies is a global digital and technology services company with artificial intelligence ("AI") at its core. The company leverages technology to deliver innovative solutions that help its customers in their digital transformation journey and subsequent operations. The company manages its business through six operating segments based on the industries it serves: Financial Services, Healthcare and Insurance, Manufacturing and Consumer, Hi-Tech and Professional Services, Banking, and Travel and Transportation. Hexaware Technologies' offerings encompass five broad services: Design & Build, Secure & Run, Data & AI, Optimize, and Cloud Services, which form the foundation for its offerings.