Hexaware Tech lists well

There was a new listing today morning. Hexaware Technologies listed on the BSE at Rs.731 v/s IPO price of Rs.708 and even rose to an intraday high of Rs.780; currently trading at Rs.755 levels, which is a premium nevertheless.

The had done well. With overall subscription at 2.66x, the issue was led by QIBs at 9.09x, HNIs and Retail investor participation was very weak at 0.2x and 0.11x respectively.

Hexaware Technologies provides information technology (IT) services, with over 90% revenue coming from America and Europe.

Shares of the company were delisted by its former promoter Baring Private Equity in Sep 2020, after acquiring the company from founder promoter Atul Nishar in 2013. Current promoter Carlyle had purchased stake from Baring in 2021, at an effective cost of Rs.385 per share.

Our conclusion in the IPO Analysis - Hexaware’s financial track record is not extraordinary, nor is the pricing attractive. Hence, we do not recommend the IPO.