On the morning of February 19, shares of Quess Corp surged by 13 percent following the company’s announcement of its intention to split into three independent entities. This strategic move is aimed at unlocking shareholder value and was formally approved during the company’s board meeting held on February 16.
The demerger plan entails the creation of three distinct listed companies: Quess Corp, Digitide Solutions, and Bluspring Enterprises. Under this restructuring, Quess Corp will focus on workforce management, business process management, Insurtech, and HR outsourcing, while Digitide Solutions will take charge of facility management, industrial services, and investments. Shareholders of Quess will receive one additional share in each of the new entities for every share they currently hold in the Bengaluru-based company.
Regulatory clearances are anticipated to be obtained within a timeframe of 12-15 months to facilitate the demerger process. Quess Corp has hitherto operated across four main business verticals, namely workforce management, global technology solutions, operating asset management, and product-led businesses.
In a statement, the company emphasized that each entity has achieved significant scale within its respective platform and is strategically positioned to operate independently, with a dedicated focus on growth in their specific sectors. Furthermore, the three entities are seen as well-positioned to capitalize on India’s growth trajectory as the nation progresses towards achieving a $5 trillion economy.
As of 11:00 am, Quess Corp was trading at a notable 11.04 percent higher rate of Rs 556.75 on the National Stock Exchange (NSE). Over the past year, the stock has demonstrated strong performance, rallying by 48 percent, thereby outpacing the benchmark Nifty index, which recorded a 23 percent increase during the same period.
