EQT-Backed Virtusa Seeks Approximately $1 Billion in Indian Initial Public Offering

Virtusa Corp Eyes $7 Billion IPO in India

Virtusa Corp, a global information technology services firm owned by Swedish private equity giant EQT, is exploring an initial public offering in India that could value it at $7 billion or more. The company is expected to raise at least $1 billion, with the road show in the second half of this year determining the listing venue, deal size, valuation, and whether to proceed.

Key Financial Institutions Involved

Citigroup, JPMorgan, and Morgan Stanley have been tapped to work on the deal, with the possibility of more institutions being added later. Virtusa's potential listing would be India's biggest so far this year, surpassing the $2.75 billion already raised from 64 listings, as per LSEG data.

Read also: SMR Jewels IPO Successfully Lists with Institutional Support

Significant Presence in India

Founded in 1996 and headquartered in Massachusetts, Virtusa employs 30,000 people in 32 countries. The company's presence in India includes IT delivery centers in Hyderabad, Chennai, Bengaluru, Mumbai, and Gurugram.

EQT's Stakes in Virtusa

A Virtusa listing would allow EQT an exit from one of its main Asia technology bets at a time when private equity firms globally are under pressure from investors to return capital. EQT, which had around €270 billion in assets under management at the end of last year, gained control of Virtusa in 2022 when it acquired Baring Private Equity Asia, which took the technology firm private from Nasdaq in 2021.

Read also: Zepto Nears $1 Billion Quarterly Net Order Value Milestone Before IPO

EQT's Recent Fundraising Efforts

The Swedish investment firm recently raised $15.6 billion for its latest private equity Asia fund, the largest pool of capital ever assembled for the region. This significant fundraising effort underscores EQT's commitment to Asia and its confidence in the region's growth potential.

Note: The table above highlights the significant number of listings and capital raised in India so far this year.