HCL Technologies' shares fall 8% after company announces acquisition of select IBM software products for $1.8 bn

New Delhi: Stocks of HCL Technologies slumped nearly 8 percent on Friday after the company announced the acquisition of select IBM software products for $1.8 billion in an all-cash deal. After a negative opening on BSE, the scrip further declined 7.6 percent to hit an intra-day low of Rs 935.

At 1300 hrs the stock was trading at Rs 951.65 apiece, down 5.96 percent from the previous close On NSE, the same trend followed as the company's stock fell by 7.7 percent to an intra-day low of Rs 934.45. Later, at 1300 hours, the stock was trading 6.06 percent lower at Rs 951.15. HCL Technologies, in a regulatory filing, said, it will acquire select IBM software products for $1.8 billion (over Rs 12,700 crore) in an all-cash deal. The deal is subject to "completion of applicable regulatory reviews" and is slated to close by mid-2019. The deal entails seven products in areas including security, marketing and collaboration solutions, and represents a total addressable market of more than $50 billion, the firm said in the filing.