Mumbai-listed HCL Tech has invested Rs 1,427.25 crore for a 10.46 per cent stake in Axonwise Pvt Limited, the company that operates Sarvam AI. The investment was part of a Series B fundraise of around USD 300 million, which values the startup at nearly USD 1.5 billion.
The round also saw participation from Nvidia, Prosperity7, Activate and Glade Brook, collectively contributing around USD 100 million in the funding round, while Bessemer invested USD 50 million. Sarvam AI is also backed by early investors such as PeakXV and Khosla Ventures.
At 9:23 AM today, shares of HCL Tech were trading at Rs 1147.45, up 2.53 per cent from the previous close.
Key takeaways from the coverage
– Investment aimed at building industry-specific language models, multilingual AI capabilities and sovereign AI solutions for regulated enterprises globally
– Morgan Stanley sees transaction as interesting but slightly unusual; minority stake limits financial impact
– Risk flagged that current investment could become obsolete given fast-evolving AI landscape; proof points at global enterprise clients will be key to watch
The consolidated revenue from operations in Q4 FY26 was at Rs 33,981 crore, marking an YoY growth of 12.35 per cent. It stood at Rs 30,246 crore in Q4 FY25.
In constant currency (CC), the company’s revenue surged by 2.4 per cent YoY but declined 3.3 per cent on QoQ basis. In dollar, the revenue increased 5.3 per cent YoY but slipped 2.9 per cent QoQ to $3,682 million in Q4 FY26.
HCL Tech’s EBIT in the quarter under review stood at Rs 5,620 crore versus Rs 5,442 crore reported in Q4 FY25 and Rs 6,285 crore in Q3 FY26 representing a decline of 10.6 per cent QoQ and growth of 3.3% YoY. EBIT margin, excluding restructuring at 17.7 per cent in the reporting quarter.
(Disclaimer: The above article is meant for informational purposes only, and should not be considered as any investment advice. ET NOW DIGITAL suggests its readers/audience to consult their financial advisors before making any money related decisions.)
