DBT Bureau
Bengaluru, 7 June
Investors cheered Wipro’s new large deal win worth $500 million as its stock price zoomed 4.7% on Friday.
At 1.30 PM, Wipro’s share price is hovering at Rs 482, up 4.52% in NSE. In a regulatory filing, the Bengaluru-headquartered firm won a $500 million contract with a leading US telecom service provider to offer managed service and some industry-specific solutions.
As part of the deal, Wipro says it will provide managed services for some products and industry-specific solutions. The time period for the execution of this contract is over a period of five years.
The large deal win comes just two months after its new CEO Srinivas Pallia took charge following the resignation of its former chief Thierry Delaporte just seven days into the new fiscal year. More than a month ago, without giving an exact size, Wipro had announced a multi-billion dollar deal with Nokia to overhaul its employee service desk and offer real-time IT support to its global network of employees.
In the last financial year, Wipro announced $4.6 billion worth of large deals though the individual deal sizes were not shared.
Wipro under the new CEO has been focussing on accelerating its revenue growth. The company has also promoted many insiders to key managerial positions.
After Pallia took over the reins, the Azim Premji-promoted company appointed Malay Joshi, a long-timer with over three decades in the company, as the CEO of Americas 1. The IT major appointed Hari Shetty, another Wipro veteran as chief strategist and sales excellence officer earlier.
For pushing up revenue growth, experts are of the opinion that Wipro has to win several large deals, which will ensure revenue conversions over the period of these contracts. Moreover, it has to ensure that all its key acquisitions including financial consultancy firm, Capco delivers the intended outcomes.
