Thu Feb 20 08:52:37 UTC 2025: **Hexaware Tech Shares Surge on Listing Day Despite Analysts’ Cautious Outlook**
MUMBAI, INDIA – Hexaware Technologies, an Indian IT services company, saw its shares jump on their debut on the National Stock Exchange (NSE) and Bombay Stock Exchange (BSE), closing up 6.74% and 3.25%, respectively, despite initial analyst predictions of a muted listing. The stock reached an intraday high of 11.3% above its initial public offering (IPO) price of Rs 708.
The Rs 8,750 crore IPO, the largest in India’s IT services sector in over two decades, was oversubscribed by 2.66 times. While analysts attributed the subdued initial listing to weak market conditions and the lack of a grey market premium, they advised investors to maintain a long-term perspective, citing attractive valuations and growth potential. The IPO was priced at a price-to-earnings (P/E) ratio of 43.1x, lower than comparable listed peers.
The company’s market capitalization immediately after listing stood at Rs 44,422.48 crore. While the initial listing was less dramatic than expected, the closing prices indicate strong investor confidence in the long-term prospects of Hexaware Technologies. The company had previously raised Rs 2,598 crore from anchor investors. This follows the company’s successful IPO, which saw a significant subscription.
First Piper 