Tata Consultancy Services (TCS) shares on Wednesday saw a boost after India’s largest IT exporter announced that it has expanded its long-standing partnership with UK’s Phoenix Group.
What Happened? TCS bagged a £600 million (₹5,940 crore) contract with UK's largest long-term savings and retirement provider, Phoenix Group on Wednesday in what will be among the largest deals for the company in the coming quarter.
As part of the deal, TCS has pledged to digitally bolster Phoenix's ReAssure (health insurance policy) business, including its administration services, using its core banking software suite called the ‘BaNCS’.
TCS's Diligenta – a regulated subsidiary in the UK on behalf of the Phoenix Group – also takes over management of customer administration and servicing of ReAssure's 3 million policies.
The IT services giant also plans to leverage its ‘Innovation Lab’ in the UK to improve the experience for policy holders, advisers, employers, and operational staff, and to refine the service quality for Phoenix Group's customers.
Get Ring The Bell, Benzinga India’s weekly briefing. Designed specifically for investors like you.
The deal arrives at a time when large deals have been few and far between for India-based IT services companies in the past few quarters as clients are looking towards shorter, smaller deals that can be renewed as and when necessary.
Speaking on the renewed deal with Phoenix Group, R Vivekanand, President of the BFSI Products and Platforms at TCS, said, "We are delighted to further expand our long-standing partnership with Phoenix Group to digitally transform its ReAssure business, drive synergies and improve the end-to-end customer experience."
Price Action: Shares of Tata Consultancy Services jumped to an intraday high of ₹3,539.90 on Wednesday afternoon, climbing close to 2%.
© 2023 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.