Virtusa, the global IT services provider owned by European private investment major EQT, is assessing plans for an initial public offering in India that could raise at least $1bn and value the business at $7bn or more, according to a report by Reuters.
The report cites unnamed sources familiar with them natter as highlighting that that the potential listing remains under evaluation, with a roadshow expected later this year set to guide decisions on valuation, deal size and final listing venue.
A syndicate of banks including Citigroup, JPMorgan and Morgan Stanley has been mandated to work on the transaction, with additional advisers potentially joining.
Founded in 1996 and headquartered in Massachusetts, Virtusa operates across 32 countries and maintains a significant delivery footprint in India, with centres in key technology hubs such as Hyderabad, Chennai, Bengaluru, Mumbai and Gurugram.
If completed, the offering would rank among the largest IPOs in India this year, against a backdrop of steadily increasing issuance. The transaction would also provide EQT with a pathway to exit a major Asian technology investment, as private equity firms face growing pressure from investors to return capital.
EQT assumed control of Virtusa in 2022 through its acquisition of Baring Private Equity Asia, which had taken the company private from Nasdaq a year earlier.
