Wipro rose 0.25% to Rs 466.25 at 9:26 IST on BSE after the company announced that it has signed an agreement for divestment of its EcoEnergy division viz. Wipro EcoEnergy, on slump sale basis, for a sale consideration of $70 million.
The announcement was made after market hours yesterday, 30 November 2016.
Meanwhile, the S&P BSE Sensex was up 58.01 points or 0.22% at 26,710.82.
On the BSE, 4,489 shares were traded on the counter so far as against the average daily volumes of 1.55 lakh shares in the past one quarter. The stock had hit a high of Rs 469.10 and a low of Rs 466 so far during the day. The stock had hit a 52-week high of Rs 606.75 on 20 April 2016. The stock had hit a 52-week low of Rs 410 on 9 November 2016. The stock had outperformed the market over the past one month till 30 November 2016, advancing 0.02% compared with the Sensex’s 4.57% fall. The scrip had also outperformed the market in past one quarter, sliding 4.91% as against the Sensex’s 5.96% fall.
The large-cap IT company has equity capital of Rs 486.17 crore. Face value per share is Rs 2.
The buyer is Chubb Alba Control Systems (Chubb Alba), an indirect subsidiary of United Technologies Corporation (UTC). The sale is expected to be closed in early 2017, subject to requisite approvals. Wipro EcoEnergy contributed Rs 67.64 crore (0.1%) to Wipro’s revenue in FY 2016.
Wipro has been sharpening focus on its core IT business. Since business carried out by the EcoEnergy division is not core and strategic to overall IT business of the company, it has been decided to divest the business.
Wipro’s consolidated net profit rose 0.9% to Rs 2070.40 crore on 1.45% rise in net sales to Rs 13896.80 crore in Q2 September 2016 over Q1 June 2016.
Wipro is a leading information technology, consulting and business process services company that delivers solutions to enable its clients do business better.