WeForNews | Latest News, Breaking News, News Updates HCL buys IBM Software Products for HCL buys IBM Software Products for $1.8 billion.8 billion | WeForNews | Latest News, Blogs
Connect with us

Business

HCL buys IBM Software Products for $1.8 billion

Published

on

HCL

New Delhi, Dec 7: Indian software major HCL Technologies on Friday said it was acquiring IBM Software Products for $1.8 billion (Rs 12,700 crore) in an all-cash deal.

“The transaction is expected to close by mid-2019, subject to completion of applicable regulatory reviews,” said the Noida-based IT firm in a mandatory filing on the BSE.

The software products represent an addressable market of over $50 billion and include Appscan for secure application development, BigFix for secure device management, Unica for marketing automation, Commerce for omni-channel eCommerce, Portal for digital experience, Notes and Domino for e-mail and low-code rapid application development and Connections for workstream collaboration.

Both the firms have an ongoing IP (Intellectual Property) partnership for five of these products.

“We see a huge opportunity to enhance our products and platforms’ offerings. The products being acquired are in large growing market areas like security, marketing and commerce, which are strategic segments for us,” added the filing.

HCL Chief Executive C. Vijayakumar said in a statement later that deployment of the IBM software products would provide the company an opportunity to serve thousands of global enterprises across industry verticals.

“As many of these products are well regarded by clients and industry analysts, we see a good growth trajectory for them, as we are committed to invest in their innovation and further development,” said Vijayakumar.

HCL also sees huge potential for creating compelling ‘as-a-service’ offerings by combining these products with its traditional services.

“Over the last four years, we have been prioritising our investments to develop integrated capabilities in Artificial Intelligence (AI) for business, hybrid cloud, cyber-security, analytics, supply chain and blockchain, besides industry-specific platforms and solutions, including healthcare, industrial IoT and financial services,” said the statement.

Noting that the suite of products being acquired were among the high-value segments, IBM Vice-President for Cognitive Solutions and Research John Kelly said the US-based IT behemoth believed the time was right to divest its software assets, as they were being delivered as stand-alone products.

“We, however, believe these products are a strategic fit for HCL, which is well positioned to drive innovation and growth for their customers,” added Kelly.

The company’s blue chip scrip with Rs 2 face value, however, lost Rs 57.04 per share till the afternoon session on the BSE to trade at Rs 954.90 from Thursday’s closing price of Rs 1,011.95 and opening rate of Rs 1,001.

IANS

Blog

Azim Premji and Dr Devi Shetty chosen for PCB awards

Besides them 25 senior journalists have been selected for the ‘Press Club Annual Awards’, a release said.

Published

on

By

Azim Premji Wipro

Bengaluru, Jan 19: The chairman of Wipro Limited Azim Premji and the founder chairman of Narayana Health Dr Devi Prasad Shetty are among those who have been selected for the annual awards given by the Press Club of Bangalore.

Premji has been chosen for ‘Press Club Person of the Year’, while Dr Shetty and actor-Director Sudeep Sanjeev have been selected for the ‘Press Club Special Award.’

Besides them 25 senior journalists have been selected for the ‘Press Club Annual Awards’, a release said.

Chief Minister B S Yediyurappa will facilitate the awardees at a function scheduled for the third week of February, it said.

Continue Reading

Business

Healthcare sector revenues likely to grow by 20% in FY22: ICRA

he risks to the recovery could be in the form of additional regulatory measures, protracted restrictions on international travel and jump in Covid-19 cases”.

Published

on

By

healthcare sector

New Delhi, Jan 19: Even as the healthcare sector witnessed squeezing of revenues due to the Covid-19 pandemic, its long-term outlook remains stable on the back of swift rebound in occupancy as well as structural factors, ICRA said on Monday.

The rating agency expects the occupancy of companies in the sector to bounce back substantially to 60 per cent in FY22, from the estimated occupancy of 52 per cent in FY21, and the revenue growth to be at 20 per cent in FY22, against an estimated contraction of 19 per cent in FY21, aided by a lower base as well.

There has been significant sequential improvement in occupancy every month after the sharp fall in April and the pent-up demand is also likely to support the performance, as elective procedures cannot be delayed indefinitely by domestic as well as international patients, the report noted.

Due to the high operating leverage, the EBITDA margin is likely to rise to 13 per cent in FY22, against an estimated EBITDA margin of 9 per cent in FY21. The capital expansion was already slowing down, even pre-Covid, and is likely to remain modest in FY22 as the players have adequate capacity to grow over the medium term and the near-term focus is on better utilisation of the existing facilities rather than expansion of the network.

Consequently, the capex as well as startup costs of new hospitals are likely to be much lower going forward, which will also aid profitability. The net debt is expected to stay largely range-bound, but the debt protection metrics is likely to improve significantly due to a sharp rise in accruals, ICRA said.

According to Kapil Banga, Assistant Vice President, ICRA: “The credit risk profile of entities in the sector had been on improving the trajectory over the last two years and notwithstanding the near-term disruption due to the pandemic, as well as given the essential nature of the services, ICRA believes the sector will resume on its growth trajectory in FY22. The risks to the recovery could be in the form of additional regulatory measures, protracted restrictions on international travel and jump in Covid-19 cases”.

Continue Reading

Business

Excise duty collection surges 48% in FY21 on high fuel levies

The total excise duty in the last financial year was over Rs 2.39 lakh crore.

Published

on

By

Modi Poster on Petrol Pump

New Delhi, Jan 17 : As the government has kept excise duty on petrol and diesel elevated amid the pandemic with a view to increase revenue, the total excise duty collection during April-November FY21 has surged nearly 48 per cent as compared to the year ago period.

The excise duty collection during the first eight months of the current financial year was over Rs 1.96 lakh crore, compared to over Rs 1.32 lakh crore collected during April-November FY20, official data showed.

The collection in November 2020 was highest so far in the financial year 2020-21 at Rs 35,703 crore. In November 2019, excise duty collection stood at Rs 18,948 crore.

The total excise duty in the last financial year was over Rs 2.39 lakh crore.

As fuel prices are at record high despite low crude oil prices, demand has been raised from several quarters to reduce the excise duty on petrol and diesel to provide relief to the common man.

In the national capital, petrol is sold at a record high level of Rs 84.70 a litre while diesel is priced at Rs 74.88 per litre.

Continue Reading
Advertisement

Most Popular