L&T's interest comes months after Hexaware promoter and private equity investors - General Atlantic Partners and ChrysCap - mandated Morgan Stanley and Credit Suisse for a strategic sale. The $600 million L&T Infotech's interest is at a very preliminary stage and may not lead to a definite bid for Hexaware, said banking sources directly familiar with the matter.
Japan's NEC Corporation, Hitachi and US giant Dell were approached initially to explore their interest. NEC and Mphasis, part of Hewlett Packard, went ahead to discuss a deal before the latter opted out last month. NEC and a couple of private equity funds remain as contenders in the fray but the sharp spike in share price in the last two months has upset plans of some potential bidders.
Hexaware stock has soared nearly 40% from, climbing up from Rs79 in early January to Rs123 on February 29. TOI reported on January 5 that Hexaware had kicked off a stake sale process with two investment bankers approaching a select list of potential suitors. The stock closed at Rs109, down 1.36% on BSE on Monday. Hexaware declined to comment.
L&T officials said the group is looking to scale up its infotech unit through buyouts. In the past, it looked at Satyam Computer and Patni but things didn't materialize.
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