Hinduja Global Solutions shares surge nearly 3% as subsidiary approves merger with US entities

Shares of Hinduja Global Solutions Limited (HGSL) witnessed a near 3% jump in today’s trading session following the announcement of a strategic merger involving its step-down wholly owned subsidiary, HGS CX Technologies Inc. The subsidiary’s board has approved the merger of five of its wholly owned US subsidiaries, namely Hinduja Global Solutions LLC, HGS Digital LLC, HGS (USA) LLC, HGS Canada Holdings LLC, and Teklink International LLC, into HGS CX Technologies Inc. The restructuring is aimed at streamlining operations and creating a more efficient organizational framework.

The company emphasized that this merger aligns with its long-term goals of operational efficiency and global competitiveness. The restructuring, pending regulatory approvals in the US, is not expected to impact HGSL’s overall operations or financials, nor will it alter the shareholding structure of the parent company or its subsidiary. This move underscores HGSL’s commitment to enhancing service delivery and resource optimization across its global markets.

Despite today’s positive movement, the stock has faced challenges this year, declining 25.16% year-to-date. Over the past five days, it has seen a modest gain of 1.20%, though it is down 3.69% in the past month and 13.52% over the last six months. The company’s shares have delivered robust long-term returns, with a 137.68% increase over the past five years and a remarkable 333% gain since listing.