Cash-rich IT service firms on a shopping spree, eye inorganic expansion

The top four Indian IT firms have cash reserves of nearly $15 billion

The country’s information technology (IT) services companies are utilising cash on their balance sheet to strengthen their digital, cloud and healthcare offerings — the themes that predominantly helped them beat the pandemic-induced downturn.
 
According to experts, while several of the target companies are available at attractive valuations, IT service firms are also eyeing to expand their presence in newer markets through inorganic expansion.
 
Already in the September quarter, top Indian IT services firms including Infosys, Wipro, and HCL Technologies have made several acquisitions, not to mention Cognizant, technically a US-headquartered company.
 
Last week, HCL Technologies announced the