Coforge Limited (NSE: COFORGE), a leading global IT solutions organization, saw its shares decline by over 4% on Friday, continuing a downward trend that has persisted for three out of the last four trading sessions. The stock has experienced a significant 7% correction during this period, closing at ₹1,630.80, marking a 17% decline over the past month.

Client Woes Impact Coforge

The recent slump in Coforge's stock price can be attributed to the poor quarterly results reported by Sabre Corporation, one of Coforge's largest clients. Sabre, a travel technology company, witnessed a staggering 35% drop in its stock price on the Nasdaq following the announcement of its disappointing financial performance.

Sabre's results fell short of initial guidance, with both revenue and EBITDA coming in below expectations. Moreover, the company significantly reduced its full-year guidance across key metrics:

• Air Distribution Volumes growth forecast cut from 'double-digit' to 4-10%
• Revenue growth projection lowered from high-single-digit to flat or low-single-digit
• Pro forma EBITDA guidance reduced from $630 million to $530-570 million

This downturn is particularly concerning for Coforge, as the company had signed a substantial $1.56 billion, 13-year agreement with Sabre in March. The deal aimed to enhance product delivery and develop AI-enabled solutions, highlighting the close partnership between the two firms.

Merger Update

In the midst of these market challenges, Coforge has been moving forward with its strategic plans. According to the latest LODR (Listing Obligations and Disclosure Requirements) filing dated August 7, 2025, Coforge Limited has taken a significant step in its proposed merger with Cigniti Technologies Limited.

The company disclosed that it has filed an application with the Hon'ble National Company Law Tribunal, Chandigarh Bench (NCLT), seeking approval for the Scheme of Amalgamation. This scheme involves the merger of Cigniti Technologies Limited (the Transferor Company) with and into Coforge Limited (the Transferee Company).

This merger application follows previous intimations made by the company on December 27, 2024, July 06, 2025, and July 18, 2025, regarding the proposed amalgamation. The move suggests that Coforge is actively pursuing strategic growth opportunities despite the current market headwinds.

As Coforge navigates through these challenging times, investors and market watchers will be keenly observing how the company manages the impact of Sabre's performance on its business while simultaneously progressing with its merger plans. The coming months will be crucial in determining how these factors influence Coforge's market position and financial outlook.

Coforge Limited (NSE: COFORGE, BSE: 532541) has taken a significant step forward in its proposed merger with Cigniti Technologies Limited. The company has officially filed an application with the National Company Law Tribunal (NCLT), Chandigarh Bench, seeking approval for the amalgamation scheme between the two entities.

Key Details of the Merger

• Merger Structure: Under the proposed scheme, Cigniti Technologies Limited will be merged into Coforge Limited, with Coforge serving as the transferee company.
• Regulatory Process: The application has been filed with the NCLT, Chandigarh Bench, for approval of the amalgamation scheme.
• Previous Disclosures: This move follows earlier intimations made by Coforge regarding the amalgamation proposal.

Official Communication

In a disclosure to the stock exchanges, Barkha Sharma, Company Secretary & Compliance Officer of Coforge Limited, stated:

"We would like to inform you that the Company has filed an application with the Hon'ble National Company Law Tribunal, Chandigarh Bench ("NCLT"), in connection with the proposed Scheme for its approval."

Background and Implications

The merger between Coforge and Cigniti Technologies is a significant development in the IT services sector. Coforge, known for its digital services and solutions, is looking to strengthen its position in the market through this strategic move. The amalgamation, once approved, could potentially create a stronger entity with enhanced capabilities and market reach.

Next Steps

The filing with the NCLT marks a crucial phase in the merger process. Shareholders and market observers will be keenly watching for further developments, including:

1. NCLT's review and decision on the application
2. Any potential regulatory approvals required
3. Shareholder meetings and voting processes, if mandated

As the merger proceedings progress, both companies are expected to provide further updates to their stakeholders and the market at large.

Investors and stakeholders of both Coforge and Cigniti Technologies are advised to stay tuned for further announcements regarding this strategic amalgamation.