L&T Technology Services shares surged almost 4 per cent after announcing the acquisition of Intelliswift Software for Rs 930 crore. The deal, expected to close by Q4FY25, will enhance LTTS's AI and platform engineering capabilities. Intelliswift reported revenue of Rs 811 crore in CY2023. This move aims to strengthen LTTS’s digital engineering suite for global clients, tapping into rising export market demand.

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About Intelliswift Software

Founded in 2001, Intelliswift Software Inc. has a strong market presence across the US, India, Hungary, Canada, Singapore, and Costa Rica. Intelliswift serves leading global clients, including four of the top five hyperscalers and more than 25 Fortune 500 companies. The company operates in the fields of software development, platform engineering, and artificial intelligence, catering to multiple industries such as retail, fintech, and technology.

Incorporated in Gujarat in 2002, Intelliswift Software (India) focuses on providing software development and AI solutions. The consolidated revenue of the company for the year ended December 2023 stood at approximately $96 million.

Stock performance and financials

At 9:50 AM, LTTS shares were trading at Rs 5,319.40, marking a 4.15 per cent gain compared to the previous close. Despite a recent underperformance year-to-date, with a modest 2.2 per cent rise, the stock has gained 23.8 per centover the last year. In contrast, the BSE Sensex showed a year-to-date increase of 9.9 per cent and an annual rise of 21.7 per cent.

The current market capitalization of LTTS stands at Rs 55,860 crore, with the stock trading at a price-to-earnings ratio of 43.04, based on an earnings per share of Rs 188.66. The acquisition is expected to boost LTTS’s market reach and address new segments, potentially enhancing its growth trajectory.