According to an exchange filing, the agreement will run from July 2026 to December 2031, with an option to extend it by another five years.
HCLTech said the contract has an estimated value of $1.14 billion during the initial term and represents entirely new business for the company.
On Thursday, brokerage firm ICICI Securities downgraded HCLTech to ‘Reduce’ from ‘Hold’ and cut its price target to ₹910 from ₹1,370.
The brokerage expects HCLTech’s revenue to decline 0.9% sequentially in constant currency terms in the June quarter, primarily due to client-specific spending cuts.
ICICI Securities also expects EBIT margins to contract by 25 basis points sequentially, citing the absence of operating leverage from revenue growth, employee restructuring costs and continued investments in AI.
It further said that the acquisitions of CTG and Jaspersoft have not yet been consolidated.
The deal comes weeks after HCLTech announced a ₹1,427 crore (around $150 million) investment in Sarvam AI to acquire a 10.46% stake in the Indian artificial intelligence startup.
Speaking to CNBC-TV18 last month, HCLTech CEO and Managing Director C Vijayakumar described the investment as the company’s entry into its “sixth big opportunity” — sovereign AI.
Vijayakumar said HCLTech was impressed by Sarvam AI’s team and technology platform, adding that the partnership would create new growth opportunities for both companies. He said that sovereign AI is emerging as a huge opportunity as enterprises and governments increasingly seek greater control over their AI infrastructure and models.
He also said the Indian enterprise market presents a large opportunity for sovereign AI adoption.
For FY27, HCLTech has guided for revenue growth of 1% to 4%.
The company said its guidance factors in a 50-basis point impact from client-specific issues and a 2% to 3% impact from AI-led pricing deflation.
Shares of HCL Technologies ended Thursday’s session 4.56% higher at ₹1,081.40. Despite the day’s gains, the stock remains down 34% so far in 2026.
