India’s largest business process outsourcing provider Genpact has listed on the New York stock exchange at a reduced price of $14 per share.
In a filing with the Securities and Exchange Commission last month, Genpact said it expected shares to be offered at a price of between $16 and $18. However, due to the current volatility of the New York market, the company was forced to drop its valuation in order to maximize proceeds from the listing.
Genpact’s IPO consisted of 35.3 million common shares, half of which were sold by the company with the rest sold by key shareholders including private equity firms General Atlantic and Oak Hill Capital Partners and energy giant General Electric, formerly Genpact’s parent company and still its largest customer. On the first day of trading, Genpact’s shares finished up just under 20% at $16.75.
Meanwhile, US-based offshore outsourcing firm Virtusa has announced that its listing on the Nasdaq will begin at the lower end of its anticipated price range. The company will sell 4.4 million shares at an initial price of $14, having previously set a value of between $14 and $16.
Virtusa, which operates delivery centers in India and Sri Lanka, intends to invest around half of the proceeds of its IPO in building a new Indian facility in Hyderabad, with the rest going towards a range of projects such as expanding existing centers and boosting its sales force.