Wipro climbs 2% on acquiring cybersecurity firm Edgile for $230 mn

NEW DELHI: Shares of Wipro gained 2 per cent in early trade on Tuesday after it said that it will acquire Texas-headquartered Edgile for $230 million, a development that is likely to strengthen the IT major’s position in the cybersecurity services space.

The counter rose to a high of Rs 681.35 on the National Stock Exchange as against the previous close of Rs 665.95.

In a statement on Monday, Wipro said that the acquisition will strengthen its leadership in strategic cybersecurity services. “Edgile is recognized by security and risk leaders for its unique business-aligned cybersecurity capability, deep understanding of the changing regulatory environment and enabling cloud transformations that help secure the modern enterprise," the statement read.

According to Wipro, Edgile's "strategy-first" approach and "Quick Start" solutions will allow the combined entity to deliver enhanced value in strategic cybersecurity services.

"Together, Wipro and Edgile will develop Wipro CyberTransform™, an integrated suite that will help enterprises enhance boardroom governance of cybersecurity risk, invest in robust cyber strategies, and reap the value of practical security in action," the release read.

Of late, Wipro has embarked on a spree of purchases to build up its cybersecurity business. Earlier in the year, it acquired Ampion, a leading provider of cybersecurity services in Australia, and the cybersecurity practice at Capco, a leading consultancy in the BFSI sector in Europe and the US, reports said.

"Adding Edgile's strategic consulting capabilities and launching Wipro CyberTransform™ are significant milestones on our journey to becoming the trusted partner to security leaders and boardroom stakeholders. I see the team blending very well with Wipro's CyberSecurists to deliver transformational cybersecurity on a global scale," Tony Buffomante, Senior Vice President & Global Head - Cybersecurity & Risk Services, Wipro was quoted as saying in reports.