HCL Tech Rises Over 7% in Seven Sessions, Extending Gains

HCL Technologies Rose 0.55% To Rs 984.95, Extending Gains For Seventh Day In A Row. The Stock Has Added 7.09% In Seven Sessions.

HCL Tech Rises Over 7% in Seven Sessions, Extending Gains

HCL Technologies rose 0.55% to Rs 984.95, extending gains for seventh day in a row. The stock has added 7.09% in seven sessions from its recent closing low of Rs 919.75 recorded on 24 December 2020. In the past six months, the stock has zoomed 70.12% while the benchmark S&P BSE Sensex has added 33.78% during the same period.

In a BSE filing made before market hours today, HCL Tech said that the proposed acquisition of DWS in Australia has completed. In September 2020, HCL Technologies announced its plans to acquire DWS, a leading Australian IT, business and management consulting group. “The acquisition of DWS will strongly enhance HCL’s contribution to Digital initiatives in Australia and New Zealand while strengthening HCL’s client portfolio across key industries, HCL Tech said.

The DWS Group, with FY20 revenue at A$ 167.9 million, provides a wide range of IT services including digital transformation, application development & support, program & project management and consulting. The acquisition was done by HCL Australia Services, a wholly owned step-down subsidiary of HCL Technologies at A$1.20 per share for total equity value pay-out at A$158.2 million.

HCL Technologies offers its services and products through three business units – IT and Business Services (ITBS), Engineering and R&D Services (ERS) and Products & Platforms (P&P). The IT firm’s consolidated net profit rose 7.23% to Rs 3,143 crore on 4.21% increase in revenue to Rs 18,594 crore in Q2 September 2020 over Q1 June 2020.

This news was originally published at Business Standard.