The shares of IT major Tata Consultancy Services (TCS) are likely to gain attention on Wednesday, March 12, after the acquisition of Darshita Southern India Happy Homes for Rs 2,250 crore.
This acquisition involves the purchase of 100% equity shares, giving the acquiring firm complete ownership of the entity.
The deal is structured as a call option, allowing the company to fully acquire the target entity after two years. The primary objective behind this acquisition is to acquire land and buildings that will be utilized as a delivery center, expanding the company’s real estate portfolio and operational capacity.
This acquisition does not fall under related party transactions, and there are no regulatory approvals required for its completion, the company informed.
TCS share price history
Over the past year, TCS shares declined by 13.26%, while the Year-to-Date (YTD) performance shows a drop of 13.08%. Over the last 6 months, the price has fallen significantly by 20.30%, and the 3-month performance reflects a decline of 19.26%. Additionally, in the past 1 month, the price has dropped by 9.82%, indicating a continued downtrend over both short and long-term periods.
TCS shares closed flat at Rs 3,574.90 on the BSE on Tuesday.
TCS shares technical placement
Currently, the shares of TCS are placed below all its significant short, medium and long-term exponential moving averages (EMAs) and are oscillating near the 30.5 mark on the relative strength indicator (RSI), according to Trendlyne data.
An RSI below 30 is considered oversold while the same above 70 is considered to be overbought.
