Quess Corp To Split Into Three Separate Companies To Unlock Value
Once the demerger is effective, all shareholders will receive one additional share for each of the new companies for every share held in Quess Corp.
Quess Corp Ltd. has approved spinning off the business services provider's diversified verticals into three independent entities to unlock value.
The company will demerge into Quess Corp Ltd., Digitide Solutions Ltd, and Bluspring Enterprises Ltd., according to an exchange filing.
Once the demerger is effective, all shareholders will receive one additional share for each of the new companies for every share held in Quess Corp. The demerger process expected to take between 12 and 15 months to achieve regulatory clearances, it said.
The company said that this helps the management to focus and develop capital allocation plans relevant to each business, and create value for its shareholders.
According to the plan:
Quess Corp will remain into workforce management.
Digitide Solutions will hold the business process management, insurtech and human resource outsourcing businesses.
Bluspring Enterprises will work in facility management, industrial services and investments.
Outlook
All the businesses within the entity are now primed for expansion, with the goal of establishing themselves as an integrated operating asset management and investment company, characterised by both scale and valuation, the company said. Through the premiumisation of its services, the company is poised to deliver a 20% year-on-year revenue growth, it said.
The company said that its workforce management business stands to benefit significantly from these structural changes and aspires to become the largest globally by headcount in the next few years.
Digitide is targeted to achieve a revenue milestone of $1 billion which denotes a significant increase from its current revenues of over $280 million, according to the company. "Serving across 30 countries, with a delivery centers in Manila and India, the company is well-positioned to take advantage of emerging BPM opportunities across diverse sectors."
Meanwhile, all the services under Bluspring Enterprises will experience huge tailwinds as a result of the focus on India’s development story, Viksit Bharat @2047 and 6G rollout plan in 2030, the company said.