Mphasis Share Price Climb after Major Stake Purchases by Kotak MF, Morgan Stanley, and Societe Generale

Mphasis Shares saw a rise, trading 1% higher at ₹2,414 during the morning session on June 11. This uptick followed significant stake purchases worth ₹1,900 crore by Kotak Mutual Fund, Morgan Stanley, and Société Générale, at an average price of ₹2,363 per share.

Around 9:25 am IST, the company's shares were trading at ₹2,406, marking a 0.5% increase from the previous close on the NSE. Since the beginning of the year, Mphasis share price have declined by over 12%.

The current price reflects a slight discount of just over one percent from the last close of ₹2,394. This follows Blackstone, the company's largest shareholder, selling its stake through bulk deals on the NSE. The total value of the transaction was ₹6,735.60 crore.

As per the bulk deals data from the NSE, Kotak Mutual Fund acquired a 1.7% stake in Mphasis through its Emerging Equity Scheme and a 0.83% stake via its India Midcap Fund scheme. Additionally, Bloomberg data reveals that Kotak Mahindra AMC held a 2.2% stake in Mphasis as of May 2024.

Among other investors, Morgan Stanley Asia Singapore acquired 22.3 lakh shares for ₹526 crore, and Société Générale purchased shares worth ₹251 crore. The identities of the remaining buyers were not disclosed.

Following Monday's sale, Blackstone's stake in Mphasis will decrease to 40.4%. Despite this reduction, Blackstone will continue to be the largest shareholder in the company. The selling entity, BCP Topco, is a private limited company based in Singapore and affiliated with the private equity firm Blackstone.

Blackstone first invested in Mphasis in 2016, and since then, the stock has surged more than fivefold. Blackstone acquired a 60.48% stake in Mphasis from Hewlett Packard Enterprises in 2016 for ₹5,466 crore (approximately $827 million), with Mphasis shares trading at ₹430 per share at that time.

MphasiS Ltd (Mphasis) is an information technology company specializing in cloud and cognitive services. The company provides a range of offerings, including application services, business process services, artificial intelligence, digital services, enterprise automation services, experience design, governance, risk and compliance services, as well as infrastructure and modernization services.

Additionally, Mphasis provides insurance services, covering property and casualty, brokerage, and life and annuity. The company also offers blockchain solutions, product engineering, and various platforms and protocols.

Mphasis serves a diverse range of industries, including asset management, corporate banking, investment banking, mortgage, retail banking, wealth management and brokerage, property and casualty insurance, hospitality, healthcare, life sciences, oil and gas, the public sector, travel, and communications. The company operates globally, with a presence in the US, Germany, Australia, China, the UK, Ireland, Belgium, Sri Lanka, Poland, Indonesia, and the Netherlands, among others. Mphasis is headquartered in Bengaluru, Karnataka, India.