Wipro founder and Chairman Azim Premji has rejected a proposal from Karnataka Chief Minister Siddaramaiah to allow public road access through the company's Sarjapur campus, citing significant legal and operational challenges. The proposal was aimed at easing traffic congestion on Bengaluru's Outer Ring Road near Iblur junction.

Proposal and Response

Chief Minister Siddaramaiah's proposal, made on September 19, suggested that preliminary assessments indicated the campus shortcut could reduce peak-hour congestion by 30% on adjacent road stretches. However, in his response letter, Premji outlined several concerns that prevent Wipro from accommodating this request:

• Special Economic Zone Status: The Wipro campus operates as a Special Economic Zone (SEZ) with strict access control requirements.
• Legal and Governance Issues: Allowing public access could lead to statutory violations and potential liability issues.
• Security Risks: Opening the campus to public traffic poses significant security concerns for the company.
• Regulatory Compliance: The proposal conflicts with existing regulatory obligations for the SEZ.

Alternative Solution Proposed

Instead of granting campus access, Premji proposed a more comprehensive approach to address the traffic issues:

• Data-Driven Study: Suggested conducting a thorough study by urban transport experts to develop sustainable mobility solutions.
• Financial Support: Offered that Wipro would fund a substantial portion of the study costs.
• Collaborative Approach: Emphasized the need for a partnership between the company and the government to find workable solutions.

Wipro's Stance

Premji's response underscores Wipro's commitment to corporate responsibility while maintaining the integrity of its operations. The company expressed willingness to collaborate with the government on viable alternatives that could alleviate traffic congestion without compromising the security and regulatory compliance of its campus.

This development highlights the complex challenges faced by both corporations and city planners in rapidly growing urban areas like Bengaluru, where infrastructure often struggles to keep pace with expansion. As the dialogue between Wipro and the Karnataka government continues, it remains to be seen what alternative solutions might emerge to address the pressing issue of traffic congestion in the area.

Wipro Limited , a leading global information technology company, has announced a significant internal restructuring move aimed at streamlining its Middle East operations. The company's step-down subsidiary, Grove Holdings 2 S.á.r.l., has completed the transfer of its entire stake in Capco Consulting Middle East FZE to Wipro IT Services UK Societas, a wholly-owned subsidiary of Wipro.

Key Details of the Restructuring

• Effective Date: The transfer was completed on September 19.
• Entities Involved:
  • Transferor: Grove Holdings 2 S.á.r.l. (step-down subsidiary of Wipro)
  • Transferee: Wipro IT Services UK Societas (wholly-owned subsidiary of Wipro)
  • Transferred Entity: Capco Consulting Middle East FZE (step-down subsidiary)

Rationale Behind the Move

According to the company's filing, this internal restructuring has been undertaken with the primary objective of rationalizing and simplifying Wipro's overall group structure. The move is expected to enhance operational efficiency and streamline the company's Middle East consulting operations.

Impact on Shareholding

As a result of this transfer, the shareholding pattern of Capco Consulting Middle East FZE has been altered:

Management's Statement

While specific comments from Wipro's management were not provided in the disclosure, the company emphasized that this restructuring is part of its ongoing efforts to optimize its global operations and corporate structure.

Additional Corporate Actions

In a separate announcement on the same day, Wipro also reported the allotment of equity shares under its employee stock option plans:

• 74,248 equity shares allotted under the ADS Restricted Stock Unit Plan 2004
• 11,472 equity shares allotted under the Restricted Stock Unit Plan 2007

These allotments, made on September 24, are part of Wipro's ongoing employee compensation and retention strategies.

The strategic move to transfer ownership of Capco Consulting Middle East underscores Wipro's commitment to enhancing its organizational structure and potentially improving its operational footprint in the Middle East region. As the technology landscape continues to evolve, such internal realignments may position Wipro to better serve its global clientele and adapt to market dynamics.