India's third largest IT services exporter Wipro will continue to scout for acquisitions, given its strong liquidity position on the balance sheet, chairman Azim Premji said at the company's 69th AGM on Wednesday.
India’s third largest IT services exporter Wipro will continue to scout for acquisitions, given its strong liquidity position on the balance sheet, chairman Azim Premji said at the company’s 69th AGM on Wednesday.
Addressing the shareholders, Premji said, “We have enough strength in the balance sheet for acquisitions.”
The IT major had recently announced the acquisition of Denmark-based digital design firm Designit for 85 million euros in an all-cash deal.
The Wipro chairman also reiterated the company’s focus on investing in technology startups through its venture capital fund. Wipro has set up a $100-million fund to invest in these companies.
On major changes sweeping the global technology industry, Premji said digital technology is a major trend in the IT services, adding the company is sufficiently investing in this segment.
Wipro expects digital theme to be a major focus area for managements that are keen on improving customer experiences and raising productivity, according to its FY15 annual report. Besides, the IT major has also invested in developing intellectual property around areas such as customer journey engineering, machine learning and autonomous management.
On the overall business environment, Premji said the US economy has gained strength and there is a strong demand for IT services, particularly in the continental Europe. The Wipro chairman said the company’s focus will be on a profitable growth.
‘Growth not being felt on ground’
Wipro chairman Azim Premji on Wednesday said though the government is reporting a GDP growth of 7.5-8%, the same was not being felt on the ground. Addressing the shareholders at the AGM, Premji said, “In all fairness to the government, we have to give it time.” The Wipro chairman said the substantial fall in global oil and commodity prices has helped the country’s balance of payment position.