Hexaware Technologies, promoted by US private equity giant Carlyle, has filed draft papers with Sebi to unlock value through a big-bang IPO, India's largest ever in the IT services and enterprise IT industry.
Hexaware Technologies, situated in Mumbai, has filed draft papers with the Securities and Exchange Board of India (Sebi) for an IPO. The promoters plan to sell shares worth ₹9,950 crore. If successful, Hexaware's IPO will be the largest in the country's IT services market since Tata Consultancy Services' ₹4,713-crore IPO over 20 years ago.
Hexaware Technologies, which is promoted by US private equity firm Carlyle, has chosen Kotak Investment Banking, Citi Global Markets, J.P. Morgan, HSBC Securities and Capital Markets, and IIFL Securities to manage the share sale.
Carlyle purchased Hexaware from Baring Private Equity Asia (now EQT) for around $3 billion in 2021, making it India's largest private-equity transaction to date. If Hexaware's listing aspirations are successful, the company will return to domestic stock exchanges after four years. According to NSE data, it debuted on June 14, 2002. Before Carlyle bought Hexaware, its former promoter, Baring Private Equity Asia, delisted its shares and took the firm private in 2020.
The company reported a revenue of $1.26 billion for the fiscal year ending December 2023, up 7.8% over the previous year. It gets up to 72% of its revenue from America, and a similar amount of its 31,000-strong workforce is headquartered in Asia Pacific.
According to the DRHP, the company's peers include IT midcaps such as Persistent Systems Ltd, LTIMindtree Ltd, Coforge Ltd, and Mphasis Ltd. Carlyle holds a 95.03% stake in Hexaware Technologies. The company provides a range of services, including IT, business process outsourcing, cloud computing, data analytics, and artificial intelligence solutions.
The company first issued shares in November 1992. It privately sold a total of 80 shares at a face value of ₹10 per share to seven shareholders.