Share of Tata Communications rose over 9% in early trade today after the firm acquired majority stake in French firm Oasis Smart SIM. Tata Communications share gained 9.3% to Rs 1,144.95, a fresh all-time high, against previous close of Rs 1048.35 on BSE. Market cap of the firm rose to Rs 30,933 crore.
Tata Communications share has risen 13.26% in last three days.
The stock opened with a gain of 2.54% at Rs 1,090 today. Tata Communications share is trading higher than 5 day, 20 day, 50 day, 100 day and 200 day moving averages.
The digital technology firm has acquired a 58.1 percent stake in France-based eSIM company Oasis Smart SIM Europe SAS (Oasis). Oasis develops and provides advanced technologies and personalised services to enable the deployment of eSIM and SIM technologies.
With this investment, eSIM technology will be fully integrated into Tata Communications' connectivity solution offering, the company said. It, however, didn't disclose the amount it has invested. eSIMs facilitate secure, reliable, and cost-efficient cellular connectivity for the Internet of Things (IoT) and machine-to-machine (M2M) applications.
Unlike traditional SIM, new connections on eSIM can be activated remotely and also customized without the need of customers visiting contact centers of companies physically.
"The rise in the number of M2M connections globally show that there is immense opportunity in the eSIM market. Oasis has the right mix of technology expertise, agility as well as an exceptional talent," Tata Communications Chief Strategy Officer Tri Pham said.