Hexaware Technologies GMP: The Mumbai-based IT company is set to make its debut on the D-street this month. The bidding period for its public offering will begin on February 12 (Wednesday) and conclude on February 14 (Friday).
Hexaware Technologies is planning to raise Rs 8,750 crore via the public offering, which consists solely of an offer for sale (OFS) of 12.36 crore shares. The price band for the mainboard IPO is fixed between Rs 674 to Rs 708 per share.
However, ahead of its public offering, the GMP (Grey market premium) is signalling a subdued entry on the D-street. At 09:55 am, the shares of Hexaware Technologies were trading at a GMP of Rs 8, commanding a premium of just 1.13% over its issue price.
GMP indicates the initial price level at which the shares of the company trade before hitting the main bourses (NSE and BSE).
While the flat momentum is for sure disheartening for primary market investors, it is worth noting that the broader D-street mood remains subdued as well, thanks to geopolitical turbulence and domestic woes.
On top of that, the IPO has no fresh issue, meaning that all the proceeds gained will be going to previous investors. After analysts issued strong warnings about the primary market frenzy last year, investors are growing more cautious about the upcoming public offerings.
Is the company profitable?
Hexaware Technologies is among the top players in the IT industry, that provide AI-enabled digital services to clients. The company reported a revenue of Rs 8,871 crore for the nine months ending September 30, 2024 as compared to Rs 7,763 crore reported in the same period last year. The company's PAT (profit after tax) during same period stood at Rs 853 crore.
The company operates major offshore delivery centers in India as well as in Sri Lanka and is planning to expand into Tier 2 cities. As of September 30, 2024, the company has 39 delivery centers and 16 offices across the Americas, Europe and APAC regions.
