Wipro Limited shares will remain in focus tomorrow, March 27 after the company announced a landmark £500 million strategic deal with Phoenix Group, the UK’s largest long-term savings and retirement business. The deal spans a 10-year period and involves platform-based, regulated Third-Party Administration (TPA) services.
Shares of Wipro ended lower by 1.6% at Rs 267 on the NSE. However, IT stocks including Wipro have seen a sharp uptick in stock prices after several brokerages including UBS and CLSA believe and wrote that the tide is turning for Indian IT companies and that there is more upside potential than downside in the stocks.
As part of the agreement, Wipro will deliver comprehensive life and pension administration services to Phoenix Group’s ReAssure customers via its existing FCA-regulated entity, Wipro Financial Outsourcing Services Limited (WFOSL). These services include policy administration, claims processing, customer support, platform technologies, and more. The engagement is expected to enhance operational transformation and client experience for Phoenix Group, while significantly strengthening Wipro’s presence in the UK.
Phoenix Group CEO Andy Briggs noted Wipro’s strong capabilities in technology and service delivery as key drivers behind the partnership, calling the company an ideal strategic partner for their transformation journey. Omkar Nisal, CEO – Europe, Wipro, said this deal marks an important milestone in the company’s UK financial services journey, especially in the TPA sector.
The agreement also includes Wipro taking over management of Phoenix’s core policy administration ALPHA platform, modernising it through AI, cloud, automation and digital transformation technologies. Wipro plans to establish additional tech and operations hubs in the UK to support this partnership, with several Phoenix Group employees expected to transition to Wipro as part of the implementation.
This deal is a significant boost for Wipro, both financially and strategically, as it continues to reposition itself as a leading digital transformation and TPA provider in the UK and European markets. Investors will closely watch Wipro’s stock as trading resumes on Wednesday.
Disclaimer: This article is based on official company communication and public data. Investors are advised to consult with financial experts before making any investment decisions.
