Wipro Voluntarily Liquidates Stepdown Subsidiary Designit Sweden AB as Part of Group Restructuring

Bengaluru, India – January 28, 2025: Wipro Limited (NSE: WIPRO, BSE: 507685, NYSE: WIT) has announced the voluntary liquidation of its step-down subsidiary, Designit Sweden AB—Sweden, effective November 28, 2024. The company received official confirmation of the liquidation from the Swedish Companies Registration Office (Bolagsverket) on January 23, 2025.

Key Details of the Liquidation​

• Subsidiary Name: Designit Sweden AB (Stepdown subsidiary of Wipro Limited).
• Effective Liquidation Date: November 28, 2024.
• Official Confirmation Received: January 23, 2025.
• Reason for Liquidation: Rationalization and consolidation of Wipro's global group structure.
• Financial Impact on Wipro:
  • Revenue from operations (FY2023-24): ₹14.10 crore (0.0157% of Wipro's total revenue).
  • Net Worth: ₹0.16 crore (0.0002% of Wipro's total net Worth).
  • All revenues were inter-company related party transactions, resulting in no material impact on Wipro's consolidated financials.

Strategic Rationale​

The voluntary liquidation is part of Wipro's ongoing efforts to streamline its global operations, optimizing its business structure and operational efficiencies. The move aligns with Wipro's strategy to consolidate subsidiaries and focus on core growth areas.

Regulatory Compliance & Disclosure​

• Transaction Structure: No sale, lease, or disposal under SEBI's Listing Obligations and Disclosure Requirements (LODR).
• No Buyer Involved: As this was a voluntary liquidation, no buyers or promoters were involved.
• No Related Party Transaction: The process was not classified as a related-party transaction.

Management Commentary​

M Sanaulla Khan, Company Secretary, Wipro Limited, stated:
"The rationalization of Designit Sweden AB aligns with Wipro's broader strategy to streamline its global operations. As this entity contributed minimally to our financials, its liquidation will not impact our overall business performance.".

Investor Takeaways & Market Outlook​

• There is no significant impact on Wipro's consolidated financials due to the subsidiary's minimal revenue contribution.
• Strategic consolidation aimed at enhancing operational efficiency and focusing on high-growth segments.
• Wipro is continuously optimizing its global footprint and simplifying business structures.

Wipro Limited's decision to streamline its group structure through subsidiary liquidation reflects its commitment to operational efficiency and strategic realignment.