HCL Tech Bags Multimillion Dollar Deal With Freescale
DSIJ Intelligence / 20 Sep 2012
HCL Technologies on Wednesday, September 19, 2012, announced that it has signed a five-year, multimillion dollar deal with Freescale Semiconductor. Though the financial details of the deal were not disclosed by the company, the deal would definitely be beneficial to HCL Tech in terms of adding to the clientele, increasing strength in the Infrastructure Services Division (ISD) and adding to high revenue generating clients.
As part of the deal, HCL Tech will serve as an exclusive technology partner for Freescale, managing and strategically transforming their end-to-end corporate IT infrastructure landscape. The deal implies that HCL Tech will manage and transform infrastructure operations covering desktop support, computers, storage, database, telecom (network & security), process automation and compliance with the use of its pioneering management tools as a service framework and gold standard process. HCL will provide services to Freescale across 20 countries, handling a user base of 19,000 employees spread across 80 different locations.
HCL Tech derived 23.3 per cent of its revenues from its Infrastructure Services Division. This division’s clientele includes 20 per cent of Fortune 100 organisations and has 280 customers from Fortune 1000 companies. The division has been the fastest growing for HCL Tech with revenue growth of 31.5 per cent in FY11 and services revenue growth of 53.3 per cent. HCL has a stronghold in the semiconductor industry and its service portfolio includes software and hardware product engineering, instrumentation, factory automation, voice & data communication and engineering design services for semiconductor equipment manufacturers. The deal would not just add strength to ISD but also to HCL’s presence in the semiconductor industry.
With the announcement made on Wednesday, the stock price of HCL Tech went up on Thursday, September 20, touching an intraday high of Rs 592 a piece which translates to 3.61 per cent higher than its previous closing, trading very close to its 52-week high of Rs 595 per share. We have a positive outlook on the scrip, however due to the price being at peak levels, we recommend investors to buy this stock on dips.
If you want to stay updated with the share market news today, keep a close watch on the indian stock market today with real time movements like sensex today live and overall stock market today trends. Investors tracking ipo allotment status, ipo news today, or the latest ipo india can also follow daily updates along with bse share price live data. Whether you are learning how to invest in stock market in india, preparing for a market crash today, or searching for the best stocks to buy in india, insights on top gainers today india, top losers today india, trending stocks india and long term stocks india help in making informed investment decisions.