Why HCL Technologies shares surged 5% on Friday

Shares of HCL Technologies rose as much as 4.59 per cent to hit an intraday high of Rs 1,186.70 after US-based telecom giant Verizon partnered with HCL Technologies for managed network services.

HCL Tech-Verizon deal

“Verizon Business today announced a strategic global partnership making HCL Technologies its primary Managed Network Services (MNS) collaborator in all networking deployments for global enterprise customers, bringing together two global leaders in enterprise networking. The partnership combines Verizon’s networking power, solutioning, and scale with HCLTech’s market leading Managed Service capabilities to usher in a new era of large-scale wireline service delivery for enterprise customers,” HCL Technologies said in a press release.

Verizon Business will continue to lead all customer acquisition, sales, solutioning, and overall planning and development with its customers and  HCL Technologies will lead post-sale implementation and ongoing support. 

The partnership will offer customers a best-in-class MNS portfolio, a highly digitised experience with data-driven service models, enhanced efficiency and lifecycle management with frictionless interface, a broad end-to-end partner ecosystem, and joint innovation on an integrated platform, HCL Technologies said.

These improvements will help customers navigate increasingly complex operating environments -- across diverse locations, geographies, and devices – while incorporating new technologies into their stack, including 5G, SD-WAN and SASE capabilities. HCL Tech’s digital-native MNS platforms and customer interfaces are designed to help them manage that digitally, quickly, and seamlessly, HCL Tech added.

Verizon Business’s global reach and localized enterprise presence together with HCLTech’s digitally optimized platforms for MNS give customers a flexible networking framework to build out with new technology and drive more efficient operations. 

“HCL Tech is a widely recognized industry leader for Managed Network Services, and with their IT service expertise and ongoing support of our enterprise networking deployments, Verizon Business can modernize our service delivery and simultaneously heighten our focus on helping customers incorporate next-generation technology like 5G, SD-WAN and SASE into their operations and their own customer offerings,” said Kyle Malady, CEO, Verizon Business.

As of 12:56 pm, HCL Technologies shares traded 3.84 per cent higher at Rs 1,178, outperforming the Sensex which was down 0.52 per cent.