IT Stocks Strengthen As Infosys, Wipro Bag Mega Contracts

IT majors Infosys and Wipro bagged mega multi-year contracts from Germany's Daimler AG and Wipro won a strategic digital and IT partnership deal from METRO AG

IT Stocks Strengthen As Infosys, Wipro Bag Mega Contracts

Infosys was trading higher by 1 per cent and Wipro had gained 3.4 per cent on the BSE.

Information technology (IT) stocks hogged the limelight on the bourses in early-mmorning trading after IT majors Infosys and Wipro bagged mega multi-year contracts from Germany's Daimler AG and Metro AG, respectively. The BSE IT index gained 1 per cent, bouyed by the strength in Wipro and Infosys, amid positive sentiment surrounding the tech companies.

At 10:10 am, the shares of Infosys were trading higher by 1 per cent at Rs 1,234 and Wipro was trading up 3.4 per cent at Rs 376.55 on the BSE. Among other IT stocks, TCS and Tech Mahindra also gained about a per cent each in early trading

Infosys bagged a long-term contract from German automotive major Daimler to drive hybrid-cloud powered innovation and IT infrastructure transformation. This is the second large deal for the Bangalore-headquartered software major this year after it bagged a multi-year digital transformation deal from the US investment firm Vanguard in July. Infosys did not, however, disclose the size of the deal.

Wipro won a strategic digital and IT partnership deal from METRO AG, a leading global wholesale company that is redefining the food service distribution industry. The estimated deal value for the duration of the first 5 years is about $700 million.

The BSE Sensex was trading higher by 187.78 points or 0.4 per cent at 46,192.13 and the NSE Nifty was at 13,520.25, up 54.65 points or 0.40 per cent at the time.