Wipro share price gained 3 percent at open on December 23. The IT major said its up to Rs 9,500-crore share buyback programme will commence on December 29 and close on January 11, 2021.
Last month, shareholders had approved Wipro's buyback plan for the purchase of up to 23.75 crore equity shares at Rs 400 per share, aggregating to an amount of up to Rs 9,500 crore.
The Mumbai-based company's buyback offer commenced on December 18 and is slated to close on January 1, 2021.
Wipro said it has signed a USD 700 million deal with Metro AG that will see over 1,300 staff of the German wholesaler move to the Indian firm. "The estimated deal value for the duration of the first 5 years is approximately USD 700 million. With the intention to extend up to 4 additional years, it can be a potential spend of up to USD 1 billion," Wipro said in a statement.
"Through this partnership, more than 1,300 employees across Germany, Romania and India will transfer to Wipro, providing them with new opportunities to advance their careers, access innovation, work with leading digital technologies and adopt new ways of working that enable agility, speed and scale in engineering," it said.
The stock was trading at Rs 375.00, up Rs 11.00, or 3.02 percent at 09:26 hours. It has touched an intraday high of Rs 377.50 and an intraday low of Rs 370.25.
Brokerage firm Macquarie has maintained an outperform rating with a target of Rs 416 per share. It is of the view that the estimated Metro deal value for the first five years is approximately USD 700 million adding that the deal could be extended by four years, according to a CNBC-TV18 report.
It is an important step towards improving the company's revenue growth rates in Europe, it said.
Domestic research firm Kotak Institutional Equities has maintained add rating with target at Rs 380 per share. Deal with Metro provides visibility of at least USD 700 million of revenues over five years.
The company has been silently participating and winning large deals. It forecasts CC revenue growth of 7.7 percent in FY22 , which has scope for upsides, the brokerage firm said.
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