Shares of Tech Mahindra were trading higher today after the IT firm and the Gujarat government inked a memorandum of understanding to offer cutting-edge digital engineering services in the state. The IT services company has said that it will expand its operations in Gujarat and employ more than 3,000 professionals in the next five years. Tech Mahindra stock touched an intraday high of Rs 1026.35 against the previous close of Rs 1019.60 on BSE. Market cap of the firm rose to Rs 99,675 crore. Total 0.12 lakh shares of Tech Mahindra changed hands amounting to turnover of Rs 1.25 crore.
Tech Mahindra shares stand higher than the 5 day moving averages but lower than 20 day, 50 day, 100 day and 200 day moving averages. The stock has lost 43 per cent since the beginning of this year and fallen 33.66 per cent during the last one year.
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The IT stock hit a 52-week high of Rs 1837.75 on December 30, 2021 and a 52-week low of Rs 944.10 on June 17, 2022.
Describing its role in the collaboration, Tech Mahindra said that it would provide digital engineering services to enable businesses to navigate digital transformation challenges by making them more connected and agile, thereby helping them build digital products and create new revenue streams. The Gujarat government has launched the Gujarat IT/ITeS Policy(2022-27), which plans to empower small and medium businesses in the state and cash on digital innovations.
“The Government is committed to supporting businesses to improve the ease of doing business (EODB) in the state. In line with this, the MoU with Tech Mahindra will not only help us enable the same but also result in the overall development of the city,” said Bhupendrabhai Patel, chief minister of Gujarat.
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CP Gurnani, managing director and chief executive officer, Tech Mahindra, said: “The MoU with the Government of Gujarat will enable us to address the changing engineering needs of enterprises today and help us in our quest to deliver state-of-the-art digital engineering services.”
Under the Gujarat IT/ITeS Policy(2022-27), the government has signed MoUs with 15 IT companies under its Employment Generation Incentive (EGI) and the ‘Atmanirbhar Gujarat Sahay Yojana.
Besides Tech Mahindra, companies such as Rishabh Software, Cygnet Infotech, Entigrity Pvt Ltd., Gateway Group of companies, QX Global Group, and Analytix Business Solutions, etc., have inked deals with the Gujarat government. All these companies have invested or will invest in various technology modernisation and transformation projects in the state. In all, the companies are expected to generate around 26,750 high-skilled IT employment opportunities for the state.
