Harman deal: Wipro shares remain volatile

Brokerages divided on the stock after $375 mn acquisition

- SIRALI GUPTA

Wipro shares rose 1.26 per cent on Friday, logging an intraday high of 253.1 apiece on the BSE, before reversing the gains and closing 0.54 per cent lower at 248.60. The stock reacted to the information technology (IT) services major's agreement to acquire Harman's Digital Transformation Solutions (DTS) unit, a Samsung company, for about $375 million, which it announced on Thursday. By comparison, the BSE Sensex was down 0.85 per cent at 81,306.85.

As part of the Wipro-Harman acquisition agreement, over 5,600 DTS employees, including key leadership, across the Americas, Europe, and Asia will transition to Wipro upon closing of the transaction. The company believes this acquisition will accelerate Wipro's mission to deliver next-generation engineering research & development (ER&D) services. The acquisition is subject to regulatory approvals and is expected to close by December 31, 2025.