Cyient Closes Korea Branch and Subsidiary Gains MSME Registration

1 min read     Updated on 26 Sept 2025, 05:35 PM
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Reviewed by
Radhika SahaniScanX News Team
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Overview

Cyient Limited has completed the closure of its Korea branch office and obtained MSME registration for its wholly-owned subsidiary, Cyient Semiconductors Private Limited. The Korea branch closure was finalized on September 26, 2025, following an initial announcement on October 24, 2025. The MSME registration for Cyient Semiconductors Private Limited was also disclosed on the same date, potentially offering benefits such as easier credit access and preference in government tenders. Both announcements were made in compliance with SEBI regulations.

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*this image is generated using AI for illustrative purposes only.

Cyient Limited , a global engineering and technology solutions company, has announced two significant developments in its corporate structure. The company has successfully completed the closure of its branch office in Korea and obtained MSME registration for its wholly-owned subsidiary, Cyient Semiconductors Private Limited.

Korea Branch Closure

Cyient Limited has finalized the closure of its branch office in Korea, a process that was initially announced on October 24, 2025. The company confirmed the completion of this closure in a communication to stock exchanges on September 26, 2025. This move appears to be part of Cyient's ongoing efforts to streamline its global operations and optimize its international presence.

MSME Registration for Subsidiary

In a separate development, Cyient Semiconductors Private Limited, a wholly-owned subsidiary of Cyient Limited, has successfully obtained registration under the Micro, Small and Medium Enterprises (MSME) Development Act, 2006. This registration was also disclosed to the stock exchanges on September 26, 2025.

The MSME registration could potentially provide Cyient Semiconductors Private Limited with various benefits, including:

  • Easier access to credit
  • Preference in government tenders
  • Protection against delayed payments

This move may strengthen the subsidiary's position in the competitive semiconductor industry.

Regulatory Compliance

Both announcements were made in compliance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. Ravi Kumar Nukala, Deputy Company Secretary of Cyient Limited, signed off on these communications, ensuring transparency with investors and regulatory bodies.

These strategic moves by Cyient Limited reflect the company's ongoing efforts to refine its corporate structure and enhance its subsidiaries' operational capabilities. As the company continues to evolve in the global engineering and technology solutions landscape, these changes may contribute to its overall efficiency and market positioning.

Historical Stock Returns for Cyient

1 Day5 Days1 Month6 Months1 Year5 Years
+0.28%-2.64%-3.60%-6.94%-39.96%+203.19%

Cyient Affirms Minimal Impact from New $100,000 H-1B Visa Fee

1 min read     Updated on 22 Sept 2025, 07:12 AM
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Reviewed by
Ashish ThakurScanX News Team
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Overview

Cyient Limited announced that the new $100,000 one-time fee for H-1B visa petitions introduced by the US government will not significantly affect its FY26 financial outlook. The company deployed only six employees on H-1B visas in the previous fiscal year, aligning with its strategy of building a global talent pool with a local approach. Other IT service providers have made similar statements, indicating limited impact on their financials. The new policy, effective from September 21, 2025, applies to new H-1B visa petitions only.

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*this image is generated using AI for illustrative purposes only.

Cyient Limited has announced that the recently introduced $100,000 one-time fee for each new H-1B visa petition by the US government will not significantly affect its financial outlook for the fiscal year 2026 (FY26).

Limited Exposure to H-1B Visas

In a regulatory filing dated September 21, 2025, Cyient revealed that it had deployed only six employees on H-1B visas in the previous fiscal year. This limited reliance on H-1B visas aligns with the company's strategy of building a global talent pool while maintaining a local approach in its operations.

Industry-Wide Response

Cyient's statement comes amid similar clarifications from other IT service providers, including Mphasis, Persistent Systems, Sasken Technologies, Firstsource Solutions, and Coforge. These companies have also indicated that the new visa fee policy would not materially impact their financials.

New H-1B Visa Policy Details

The new policy, stemming from a recent order by US President Donald Trump, introduces a $100,000 one-time fee for each new H-1B visa petition. This fee will be effective from September 21, 2025, and will not apply to existing H-1B visas or petitions filed before this date.

Market Reaction and Clarifications

Following the announcement of the new visa fee, US-listed shares of major Indian IT firms like Infosys and Wipro experienced a drop of up to 4.00% on Friday. However, subsequent clarifications from various IT companies, including Cyient, have provided some relief to the sector.

Cyient's Global Strategy

Sudheendhra Putty, Company Secretary of Cyient, emphasized the company's philosophy in the regulatory filing: "Cyient's philosophy has always been in building a truly global engineering and technology enterprise to support our diversified portfolio of businesses. We are local in our approach to build talent and global in our outlook, which defines our market leadership and our risk mitigation approach in today's rapidly evolving world."

This approach appears to have positioned Cyient favorably in light of the new H-1B visa regulations, minimizing potential financial impacts on the company's operations.

As the IT services sector adapts to these new regulations, companies like Cyient that have diversified their talent acquisition strategies and maintained a global-local balance may find themselves better equipped to navigate the changing landscape of international workforce deployment.

Historical Stock Returns for Cyient

1 Day5 Days1 Month6 Months1 Year5 Years
+0.28%-2.64%-3.60%-6.94%-39.96%+203.19%
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