Wipro shares rise 2% on signing £500 mn deal with Phoenix Group of U.K.

Shares of Wipro rose nearly 2% in opening trade on Thursday as sentiment was lifted after it bagged a 500 million pound ($650 mn) order from Phoenix Group, the U.K.'s largest long-term savings and retirement business. This is a 10-year strategic deal designed to deliver life and pension business administration to ReAssure UK Services Limited, a part of Phoenix Group.

Snapping previous session losses, Wipro share price opened 1% higher at ₹270 on the BSE, after ending 1.3% lower at ₹267.40 on Wednesday. In the early trade, the IT stock rose as much as 1.9% to hit a high of ₹272.55, while the market capitalisation rose to ₹2.84 lakh crore.

The IT heavyweight touched its 52-week high of ₹324.55 on January 23, 2025, and a 52-week low of ₹208.40 on June 4, 2024. Wipro shares are down 10% on year-to-date (YTD) basis, while it lost nearly 8% in a month. The counter gained 15% in the past 12 months.  

In an exchange filing last evening, Wipro said that it inked a 10-year strategic deal with Phoenix Group to deliver life and pension business administration for the ReAssure business and accelerate the group’s operational transformation.

As per the deal, Wipro’s existing FCA-regulated entity, Wipro Financial Outsourcing Services Limited (WFOSL), will deliver comprehensive life and pension administration services to Phoenix Group’s ReAssure customers. These services will encompass policy administration, claims processing, customer service support, data management and reporting, compliance and regulatory support, as well as platform technologies, the release noted.

“This engagement with Phoenix Group marks an important milestone in the evolution of our work with financial institutions in the UK,” said Omkar Nisal, CEO - Europe, Wipro Limited and Non-Executive Chairman of WFOSL.

“We are proud to support Phoenix Group in the transformation of their ReAssure business and help them achieve their long-term objectives. This landmark deal further underscores our commitment to helping financial institutions deliver exceptional client experiences and further cements our position as a key player in the Life and Pension Third Party Administration (TPA) provider sector in the UK,” he added.

As part of the deal, Wipro will assume management of the core policy administration ALPHA platform, modernising it with AI, automation, cloud, and digital transformation technologies. This modernisation initiative will ensure the platform is future-ready, enhancing efficiency, and delivering superior customer experiences for Phoenix Group policyholders.

The release highlighted that Wipro will also strengthen its UK presence by establishing additional technology and operational service hubs. These hubs will be supported by a team of experts from both Phoenix Group and Wipro, who will work collaboratively to further enhance the customer experience. As part of this transformational initiative, a number of Phoenix employees will transition to Wipro.   

(DISCLAIMER: The views and opinions expressed by investment experts on fortuneindia.com are either their own or of their organisations, but not necessarily that of fortuneindia.com and its editorial team. Readers are advised to consult certified experts before taking investment decisions.)