One of the small-cap IT stocks engaged in the field of digital technologies, Digital Operations, and Digital Experiences The stock has jumped 3.52 percent after acquiring a 100% stake in TNQ Tech Private Limited
Stock Price Movement:
With a market capitalization of Rs. 3,802.04 crores, the shares of Datamatics Global Services Limited reached an intraday high of Rs. 658.65 per equity share, rising nearly around 3.52 percent from its previous day’s close price of Rs. 636.20. Since then, the stock has retreated and is currently trading at Rs. 643.35 per equity share.
What Happened:
Lumina Datamatics Limited, a wholly owned subsidiary of Datamatics Global Services Limited, has signed definitive agreements to acquire a 100% stake in TNQ Tech Private Limited, a Chennai-based publishing technology and services company.
The acquisition will occur in rounds, with the first 80% stake acquisition by December 31, 2024, amounting to Rs. 336 crore. The second round of 20% based on EBITDA multiples and financial metrics for FY26 will be paid by July 31, 2026.
The acquisition will strengthen Lumina Datamatics’ global capabilities in digital publishing and AI-enabled technology. TNQTech’s expertise in pre-press publishing and innovative solutions will complement Lumina’s portfolio, enhancing its position as a leader in content workflows and digital publishing solutions for international publishers and learned societies.
Key Deal Wins In Q2FY25
Datamatics Global Services Limited has announced several key deal wins in Q2 FY25. The company will implement its FINATO platform to centralize operations across 50+ countries through digital transformation, enabling end-to-end automation of the CFO back-office.
Additionally, Datamatics will modernize its application stack and ensure cloud adaptability for efficient data management, improving the customer experience in health claim management and making the application stack scalable and future-ready.
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Services Offering:
Datamatics provides a wide range of core services, including digital transformation, AI/ML solutions, and BPM for streamlined operations. Its expertise spans big data analytics, engineering services, and automation solutions like RPA and FINATO.
Additionally, it offers advanced content management and intelligent document processing, enabling businesses to enhance efficiency, decision-making, and digital financial accuracy.
Recent quarter results and ratios:
Datamatics Global Services Limited’s revenue has increased from Rs. 377 crore in Q2 FY24 to Rs. 407 crore in Q2 FY25, which has grown by 7.97 percent. The net profit of Datamatics Global Services Limited is down by 14.29 percent, from Rs. 49 crore in Q2 FY24 to Rs. 42 crore in Q2 FY25.
Datamatics Global Services Limited’s revenue and net profit have grown at a CAGR of 6.47 percent and 18.59 percent, respectively, over the last five years.
In terms of return ratios, the company’s ROCE and ROE should be 21.2 percent and 16.6 percent, respectively. The debt-to-equity ratio of the company is to be 0.03x, which shows the company is almost debt-free. Datamatics Global Services Limited’s EPS is to be Rs. 30.4.
Company Overview:
Datamatics Global Services Limited provides IT, business process management, and consulting services globally. Its offerings include AI-powered solutions in digital technology, BPM, and engineering. The company’s products include TruBot (RPA), TruCap (IDP), TruBI (BI & visualization), TruAI (analytics), TruFare (fare collection), and trade finance accelerators.
Written By – Nikhil Naik
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