Hexaware Technologies has announced an agreement to acquire Consulting Professionals Services Holdings Limited, along with its wholly owned subsidiary, Consulting Professionals Services Limited (CPS), for up to GBP 11 million (~₹139.7 Crore). The acquisition will be executed through Hexaware's wholly owned subsidiary, Hexaware Technologies UK Ltd, and is aimed at strengthening the company's capabilities as an AI and cloud transformation partner for financial institutions and blue-chip organizations. The transaction is expected to close within two weeks.

Transaction Details

The acquisition is structured as an all-cash deal with the total consideration capped at GBP 11.00 million. The deal involves an upfront payment of GBP 6.00 million, with an additional GBP 5.00 million contingent upon the financial performance of the acquired entity. Hexaware will acquire 100% shareholding and control of the target entity. The company confirmed that the transaction does not require any governmental or regulatory approvals and does not fall within related party transactions, with the promoter group holding no interest in CPS.

Strategic Rationale

CPS is a specialist technology consulting and professional services firm operating primarily in the United Kingdom and the United Arab Emirates. The firm delivers high-value consulting services — including regulatory compliance, technology infrastructure, governance and risk, and business transformation — to a FTSE 100 client. Hexaware currently maintains an existing relationship with this client and ranks among its top service providers. The acquisition is expected to consolidate client spend and strengthen Hexaware's strategic positioning within the client's supplier landscape, while expanding its market presence across large enterprise accounts by integrating advisory maturity and global delivery models.

Financial Performance

The target entity has provided unaudited turnover figures for the client contract over the past three fiscal years. The data reflects the performance of the business operations being transferred to CPS as part of the transaction. The exchange rate used for conversion is INR 127.00 per GBP.

*INR to GBP foreign exchange rate = INR 127.00 per GBP

Hexaware Technologies has secured a favorable ruling from the Appellate Authority, which has set aside a GST demand of INR 15.13 crore pertaining to FY2020-21. The company received the communication from the appellate authority on May 13, 2026, and disclosed the development to stock exchanges on May 14, 2026, pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Appellate Order Details

The favorable order was passed under Section 107 of the Tamil Nadu Goods and Services Tax / Central Goods and Services Tax Act, 2017. The Appellate Authority set aside the original order issued by the Department of Goods and Service Tax, State Tax Officer, Chennai, which had been the subject of intimations filed on February 28, 2025 and August 19, 2025. The following table summarises the key details of the appellate order:

Nature of the Original Dispute

The original GST demand pertained to the alleged non-payment of tax on account of non-realisation of export proceeds within the stipulated timeline during FY2020-21. The order under Section 73 of the Tamil Nadu Goods & Service Tax / CGST Act, 2017 had been issued by the Department of Goods and Service Tax, State Tax Officer, Chennai. Hexaware Technologies had subsequently filed an appeal with the appellate authority, which has now ruled in the company's favour.

Financial and Operational Impact

As a result of the appellate order, the entire demand — including interest and penalty — has been reduced to NIL. The company has stated that there is no impact on its financials or operations due to the said order. The disclosure was made in accordance with Regulation 30 of the SEBI LODR Regulations, read with SEBI Circular No. HO/49/14/14(7)2025-CFD-POD2/I/3762/2026 dated January 30, 2026.