Hexaware Technologies Shares Climb 3% After Rs 1,029 Crore Acquisition of SMC Square Entities

Hexaware Technologies saw its share price surge by 3 percent to Rs 882 in morning trading on July 17, following the announcement of its acquisition of Tech SMC Square India and Tech SMCSquared (GCC) India for up to Rs 1,029 crore. This strategic move strengthens Hexaware’s position in the rapidly growing mid-market Global Capability Center (GCC) segment in India, aligning with its goal to capitalize on the sector’s rising demand. Acquisition Details The all-cash transaction includes an upfront payment of $45 million, with additional performance-based earnouts, and is slated to close on July 17, 2025. The deal encompasses SMC Square’s operations, which include a workforce of approximately 500 employees and delivery centers in Bengaluru and Hyderabad. This acquisition enhances Hexaware’s capabilities in GCC setup and operations while expanding its go-to-market presence in the US. Strategic Impact The acquisition positions Hexaware to tap into the booming mid-market GCC segment, which is projected to surpass $100 billion by 2030. SMC Square brings proven expertise in GCC operations, complementing Hexaware’s existing strengths in artificial intelligence, cloud computing, analytics, and enterprise platforms. The integration of SMC Square’s capabilities is expected to bolster Hexaware’s service offerings, enabling it to deliver enhanced value to clients in the GCC space. By acquiring SMC Square’s delivery centers and talent pool, Hexaware strengthens its operational footprint in key Indian tech hubs, Bengaluru and Hyderabad. This move aligns with the company’s strategy to scale its presence in high-growth markets and cater to the increasing demand for GCC services, particularly among mid-sized enterprises.