Tech Mahindra was down 0.29% to Rs 544.30 at 9:28 IST on BSE after the company said its subsidiary won an IT services project worth about 50 million pounds from Britain-based healthcare company Circle Health.
The announcement was made after trading hours yesterday, 24 June 2015.
Meanwhile, the BSE Sensex was up 14.85 points, or 0.05%, to 27,744.52.
On BSE, so far 11,000 shares were traded in the counter, compared with an average volume of 4.10 lakh shares in the past one quarter.
Trading in the counter was volatile. The stock rose 0.32% at the day's high of Rs 547.65 so far during the day. The stock fell 0.86% at the day's low of Rs 541.20 so far during the day.
The stock hit a record high of Rs 749.50 on 2 February 2015. The stock hit a 52-week low of Rs 498.70 on 25 June 2014.
The stock had underperformed the market over the past one month till 24 June 2015, sliding 17.94% compared with 0.81% fall in the Sensex. The scrip had also underperformed the market in past one quarter, falling 17.24% as against Sensex's 1.53% fall.
The large-cap IT company has an equity capital of Rs 481.88 crore. Face value per share is Rs 5.
Tech Mahindra announced that it has been selected by Circle Health after a competitive procurement process to become a chosen technology partner for the next 10 years. The project will be delivered by nth Dimension, a newly formed wholly owned subsidiary of Tech Mahindra in the United Kingdom. The deal is worth a projected 50 million pounds over the 10 years.
In response to the creation of the partnership, Circle will provide access to its hospitals, clinicians and experience of running healthcare, allowing Tech Mahindra to develop and adopt new technologies that improve patient care, operational delivery and to reduce costs for all parties. Tech Mahindra will develop new IT solutions for Circle's hospitals and NHS management contracts - giving its facilities access to state-of-the-art technologies that it has deployed in other sectors such as the telecoms sector, supporting the adoption of mobile healthcare solutions, Tech Mahindra said in a statement.
Both Circle and Tech Mahindra have ambitious growth plans for the healthcare sector, focusing in the first instance on the creation of a new state of the art hospital in Birmingham that will allow for a wide range of innovations to be adopted within the design phase. Additionally Tech Mahindra will support Circle in developing its innovative MSK service across Bedfordshire, providing patients with the ability to book their MRI appointments from their mobile phones and GPs viewing scans and reports from their mobile devices, the statement added.
Circle Health runs private hospitals and services for the UK's National Healthcare Service.
On consolidated basis, Tech Mahindra's net profit dropped 41.38% to Rs 472.01 crore on 6.34% growth in net sales to Rs 6116.79 crore in Q4 March 2015 over Q3 December 2014.
Tech Mahindra is a specialist in digital transformation, consulting and business re-engineering solutions.
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