Hexaware Technologies IPO Day 1 Live Updates: IT services firm Hexaware Technologies Ltd is set to launch its initial public offering (IPO) on February 12, with a price range established at ₹674-708 per share. Hexaware IPO, which will conclude on February 14, consists entirely of an offer-for-sale of equity shares valued at ₹8,750 crore by its promoter, CA Magnum Holdings, which is affiliated with the Carlyle Group.
Investors have the option to bid for a minimum of 21 shares and in subsequent multiples. The company successfully secured Rs. 2,598 crores from anchor investors at ₹708 per equity share, according to an exchange announcement.
Hexaware Technologies is an international company specializing in digital and technology services, with artificial intelligence (AI) fundamental to its operations and a diverse clientele that includes 31 Fortune 500 firms. It caters to clients across the Americas, Europe, and the Asia-Pacific region, which encompasses India and the Middle East.
The firm organizes its operations into six segments: financial services, healthcare, and insurance; manufacturing and consumer goods; high-tech and professional services; banking; and travel and transportation.
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Hexaware Technologies IPO Day 1 Live Updates: 10 brokerages recommend to ‘subscribe’
Hexaware Technologies IPO subscription status: Anand Rathi, SBI Securities, Geojit among brokerages which have given ‘subscribe’ tag to the Hexaware Technologies IPO
Hexaware Technologies IPO Day 1 Live Updates: Issue booked 3% so far
Hexaware Technologies IPO subscription status: The initial public offer of Hexaware Technologies IPO has been subscribed 3% on the first day of subscription today, at 17:00 IST, as per BSE data.
The initial share sale received bid for 30,79,965 shares against 9,14,23,354 shares on offer, according to BSE.
The portion for retail investors received 4% subscription while the quota for non-institutional investors has been subscribed 1% and the qualified institutional buyers (QIBs) part is booked 4%. The employee portion has been subscribed 11%.
Hexaware Technologies IPO Day 1 Live Updates: Here’s what Indsec Securities says
We have a “Subscribe » rating on the company on account of (1) AI-led digital capabilities & platforms such as RapidX, Tensai and Amaze. (2) Hexaware’s deep domain expertise in all the verticals & service lines. (3) Long tenured relationship with Top 5/10/20 clients (15/15/12 years respectively). (4) Expected increase in outsourcing of Tech services to benefit Hexaware. (5) Management’s plan to pursue acquisitions in order to enhance services and increase geographic reach.
Hexaware Technologies IPO Day 1 Live Updates: Key drivers of growth
Increased spending on technology to enhance digital infrastructure, streamline operations, and improve customer experiences.Adoption of cloud computing, artificial intelligence (AI), data, automation, and connected products.Digital transformation and modernization of legacy systems.Investment in product engineering, IoT solutions, analytics, and cybersecurity measures.
Hexaware Technologies IPO Day 1 Live Updates: Issue booked 2% so far
Hexaware Technologies IPO subscription status: The initial public offer of Hexaware Technologies IPO has been subscribed 2% on the first day of subscription today, at 16:18 IST, as per BSE data.
The initial share sale received bid for 19,27,380 shares against 9,14,23,354 shares on offer, according to BSE.
The portion for retail investors received 3% subscription while the quota for non-institutional investors has been subscribed 1% and the qualified institutional buyers (QIBs) part is yet to be booked. The employee portion has been subscribed 10%.
Hexaware Technologies IPO Day 1 Live Updates: All you need to know about Geographic revenue concentration risk
The company derives 73.4%/71.5% of the revenue from operations from Americas and 20.5%/22.1% of the revenue from operations from Europe for the 9MCY24 and CY23, respectively.
Hexaware Technologies IPO Day 1 Live Updates: Check out growth strategy
Continuously improved offerings and platformsDeepen and expand relationships with existing customersAcquire new customers with focus on large customers to tap high value opportunitiesStrategically expand into untapped geographies and industriesCreate and develop advanced talent and optimize cost of deliveryStrategic M&A aimed at new capabilities and expanded geographic footprintFocus on operational improvement
Hexaware Technologies IPO Day 1 Live Updates: Check out SBICAP Securities views
The company leverages AI to build solutions for its clients driving improvement in productivity and gains in utilization. Hexaware’s $ revenue/rupee revenue/PAT have grown at a CAGR of 14%/20%/15% over CY21-23 with stable EBIT margin. It has a healthy cash balance of ₹1,346 cr as of Sep’24. We recommend subscribing to the issue at the cut-off price with a long-term investment horizon.
Hexaware Technologies IPO Day 1 Live Updates: Long-term and embedded relationships with diversified blue-chip customer base
The company serves 31 Fortune 500 organizations. In FY23, 62% of revenue came from customers with over $5B in revenue, and 83% from those with over $1B. It has a diversified global presence across the Americas, Europe, APAC, the Middle East, Africa, and Latin America.
Hexaware Technologies IPO Day 1 Live Updates: Issue booked 2% so far
Hexaware Technologies IPO subscription status: The initial public offer of Hexaware Technologies IPO has been subscribed 2% on the first day of subscription today, at 14:48 IST, as per BSE data.
The initial share sale received bid for 16,36,110 shares against 9,14,23,354 shares on offer, according to BSE.
The portion for retail investors received 3% subscription while the quota for non-institutional investors has been subscribed 1% and the qualified institutional buyers (QIBs) part is yet to be booked. The employee portion has been subscribed 9%.
Hexaware Technologies IPO Day 1 Live Updates: Some Key Risks
Economic volatility in key markets can reduce client budgets and IT spending, directly affecting Hexaware’s revenue and financial stability.Currency fluctuations impact profitability as revenues in foreign currencies and expenses in Indian rupees create financial risks.
Hexaware Technologies IPO Day 1 Live Updates: Check out Canara Bank Securities views
With a strong market position, innovative offerings, and efficient operations, the company is well-positioned for continued expansion and profitability. The company’s strong market position and operational strengths are clear, but the delisting concerns persist, even though its P/E of 43x as of CY23 is lower than its peers, offering potential for value appreciation.
Hexaware Technologies IPO Day 1 Live Updates: Financial Performance
Co’s revenues and profits has grown at a CAGR of 17.9%/15% during FY21-24A in INR terms amidst challenging global demand environment. With demand environment improving and more discretionary spend opening up, experts believe Hexaware Technologies would be one of the key beneficiary.
Hexaware Technologies IPO Day 1 Live Updates: Issue booked 2% so far
Hexaware Technologies IPO subscription status: The initial public offer of Hexaware Technologies IPO has been subscribed 2% on the first day of subscription today, at 13:30 IST, as per BSE data.
The initial share sale received bid for 13,83,732 shares against 9,14,23,354 shares on offer, according to BSE.
The portion for retail investors received 3% subscription while the quota for non-institutional investors has been subscribed 1% and the qualified institutional buyers (QIBs) part is yet to be booked. The employee portion has been subscribed 7%.
Hexaware Technologies IPO Day 1 Live Updates: Check out investment rationale of experts
Diverse Client Portfolio with Deep Domain expertise enabling end to end service offeringOverall Positive Demand Outlook for the IT Industry Stable and Good Financial Performance with good set of margins
Hexaware Technologies IPO Day 1 Live Updates: Check out Nirmal Bang’s view on the issue
Over a period of time, It has expanded its offerings and customer base, broadened its global delivery footprint, increased focus on innovation and technology. Shares are available at a P/E of 37.8x and EV/EBIDTA of 23.3x CY24A earnings which seems reasonable thus recommend ‘Subscribe for Long Term’ to the issue.
Hexaware Technologies IPO Day 1 Live Updates: Issue booked 1% so far
Hexaware Technologies IPO subscription status: The initial public offer of Hexaware Technologies IPO has been subscribed 1% on the first day of subscription today, at 12:33 IST, as per BSE data.
The initial share sale received bid for 11,69,259 shares against 9,14,23,354 shares on offer, according to BSE.
The portion for retail investors received 2% subscription while the quota for non-institutional investors was booked 1%, and the qualified institutional buyers (QIBs) part is yet to be booked. The employee portion has been subscribed 6%.
Hexaware Technologies IPO Day 1 Live Updates: Hexaware IPO review by Stoxbox
Hexaware’s track record of robust revenue growth, improving margins, and strong cash generation positions it well for continued success, underscoring its commitment to delivering value to stakeholders. The issue is valued at a price-to-earnings (P/E) ratio of 43.1x on the upper price band based on CY23 earnings, which is relatively cheaper compared to its peers. Considering the above compelling factors, we recommend a « SUBSCRIBE » rating for this issue.
Hexaware Technologies IPO Day 1 Live Updates: Industry segments
Hexaware operates within six primary industry segments: Financial Services, Healthcare and Insurance, Manufacturing and Consumer, HiTech and Professional Services, Banking, and Travel and Transportation
Hexaware Technologies IPO Day 1 Live Updates: Check out company’s peers
According to the red herring prospectus (RHP), the company’s listed competitors include Persistent Systems Ltd (which has a P/E of 84x), Coforge Ltd (with a P/E of 64x), LTIMindtree Ltd (showing a P/E of 38x), and Mphasis Ltd (with a P/E of 34x).
Hexaware Technologies IPO Day 1 Live Updates: Key things to know
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Hexaware Technologies IPO Day 1 Live Updates: Check out company’s key strategies
Continuously improve offerings and platformsDeepen and expand relationships with existing customersAcquire new customers with focus on large customers to tap high value opportunitiesStrategically expand into untapped geographies and industriesCreate and develop advanced talent and optimize cost of deliveryFocus on operational improvementStrategic M&A aimed at new capabilities and expanded geographic footprint
Hexaware Technologies IPO Day 1 Live Updates: Issue booked 1% so far
Hexaware Technologies IPO subscription status: The initial public offer of Hexaware Technologies IPO has been subscribed 1% on the first day of subscription today, at 10:45 IST, as per BSE data.
The initial share sale received bid for 5,97,450 shares against 9,14,23,354 shares on offer, according to BSE.
The portion for retail investors received 1% subscription while the quota for non-institutional investors and the qualified institutional buyers (QIBs) part is yet to be booked. The employee portion has been subscribed 3%.
Hexaware Technologies IPO Day 1 Live Updates: Key dates to know
Tentatively, Hexaware Technologies IPO basis of allotment of shares will be finalised on Monday, February 17 and the company will initiate refunds on Tuesday, February 18 while the shares will be credited to the demat account of allottees on the same day following refund. Hexaware Technologies share price is likely to be listed on BSE and NSE on Wednesday, February 19.
Hexaware Technologies IPO Day 1 Live Updates: Here’s what Master Capital Services says about the Hexaware IPO
Hexaware’s financials displays a steady track record of positive cash generation and growth. The company provides a comprehensive range of services, which include Design & Build, Secure & Run, Data & AI, Optimize, and Cloud Services. . The company aims to acquire new customers with focus on large customers to tap high value opportunities. Investors interested in the company can participate in the IPO with focus on investing for long term.
Hexaware Technologies IPO Day 1 Live Updates: All you need to know about the anchor investors names
Some of the leading names like SBI MF, HDFC MF, AXIS MF, ICICI Prudential MF, Kotak Mahindra MF, Aditya Birla Sun Life MF, UTI MF, Mirae AMC, HSBC MF, Motilal Oswal AMC, Fidelity Funds, Abu Dhabi Investment Authority, Goldman Sachs Funds, J P Morgan Funds, T Rowe Price Fund, Amundi Funds, Franklin Templeton Investment Funds, Bajaj Allianz Life Insurance, ICICI Prudential Life Insurance, CLSA Global Markets, 3P India Equity Fund, Axis Max Life Insurance, Bharti Axa Life Insurance etc. were allocated shares.
Hexaware Technologies IPO Day 1 Live Updates: Hexaware IPO review
According to a report by brokerage Anand Rathi, the company is valued at a price-to-earnings (P/E) ratio of 43.1x at the upper price band, which translates to a post-issue market capitalization of ₹430,247 million. The return on net worth stands at an impressive 22.8%, indicating strong profitability relative to the equity base.
“On the valuation front, we believe that the company is fairly priced. Thus, we recommend a “SUBSCRIBE » rating to the IPO, » said the brokerage.
Hexaware Technologies IPO Day 1 Live Updates: Hexaware IPO Lead Manager and Registrar
The book-running lead managers for the offering are Kotak Mahindra Capital Company, Citigroup Global Markets India, JP Morgan India, HSBC Securities and Capital Markets (India), and IIFL Capital Services.
Hexaware Technologies IPO Day 1 Live Updates: Hexaware IPO reservation
Hexaware Technologies IPO has reserved not more than 50% of the shares in the public issue for qualified institutional buyers (QIB), not less than 15% for non-institutional Institutional Investors (NII), and not less than 35% of the offer is reserved for retail investors. A discount of ₹67 apiece is being offered to eligible employees bidding in the employee reservation portion, and equity shares aggregating up to ₹900 million is reserved for employees.
Hexaware Technologies IPO Day 1 Live Updates: All you need to know about Hexaware Technologies IPO anchor investors
The firm has secured Rs. 2,598 crores from anchor investors at a price of ₹708 per Equity Share, according to a filing with the exchange. From the overall allocation of 3,66,94,914 Equity Shares to Anchor Investors, 1,31,55,849 Equity Shares (which accounts for 35.85% of the entire allocation to Anchor Investors) were distributed to 15 domestic mutual funds across a total of 34 schemes.
Hexaware Technologies IPO Day 1 Live Updates: Here’s what Hexaware Technologies IPO grey market premium hints ahead of opening
Hexaware Technologies IPO GMP or Hexaware IPO grey market premium is +3.5. This indicates Hexaware Technologies share price were trading at a premium of ₹3.5 in the grey market on Tuesday, according to investorgain.com.
Considering the upper end of the IPO price band and the current premium in the grey market, the estimated listing price of Hexaware Technologies share price was indicated at ₹711.5 apiece, which is 0.49% higher than the IPO price of ₹708.
Based on the latest analysis of grey market activities, today’s IPO GMP is showing a downward trend and is expected to decline further. The minimum GMP stands at ₹3.50, while the maximum is at ₹19, according to insights from experts at investorgain.com.
‘Grey market premium’ indicates investors’ readiness to pay more than the issue price.
Disclaimer: The views and recommendations above are those of individual analysts, experts and broking companies, not of Mint. We advise investors to check with certified experts before making any investment decision.
