Shares of L&T Technology Services (LTTS) rose as much as 4.25 percent in early trade on Tuesday, touching an all-time high of Rs 5,324.65 on the BSE. The move followed the company’s announcement to acquire Intelliswift Software Inc., a Silicon Valley company, for $110 million.
L&T Technology Services has disclosed that its wholly owned subsidiary, L&T Technology Services LLC, will acquire the entire shareholding of Intelliswift Software Inc. of the US and its Indian counterpart, Intelliswift Software (India). The acquisition process is expected to be completed by February 28, 2025. This strategic move aims to enhance LTTS’ capabilities in software product development, platform engineering, and AI services.
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 the world’s leading clients, including the top four hyperscalers and more than 25 Fortune 500 companies. The company operates in the areas of software development, platform engineering, and artificial intelligence, serving a wide range of industries such as retail, fintech , and technology.
Incorporated in Gujarat in 2002, Intelliswift Software (India) specializes in providing software development and AI solutions. The company’s consolidated revenue for the year ended December 2023 stood at approximately $96 million.
Stock performance and finance
At 9:50 AM, shares of LTTS were trading at Rs 5,319.40, marking a gain of 4.15 percent compared to the previous close. Despite the recent year-to-date underperformance, with a modest increase of 2.2 percent, the stock has gained 23.8 percent over the previous year. In contrast, the BSE Sensex has shown a year-to-date rise of 9.9 percent and a year-to-date rise of 21.7 percent.
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 earnings per share of Rs 188.66. The acquisition is expected to increase the reach of the LTTS market and cater to new segments, which may enhance its growth trajectory.