Mphasis Clarifies Having No Exposure to Failed US Banks, Soothes Concerns

Published 29-03-2023, 01:42 pm
© Reuters.

By Malvika Gurung

Investing.com -- The mid-cap IT major Mphasis (NS:MBFL) has come under focus on Wednesday after the company announced that it did not have any exposure to Silicon Valley Bank (OTC:SIVBQ), Signature Bank (OTC:SBNY) or Silvergate Capital (NYSE:SI), either as a client or as a banker.

Amid the heightened investor concerns regarding banking and other clients reducing/adjusting their IT spending following the collapse of three major US banks recently, Mphasis has clarified that it has no exposure or ties to any of the affected US banks.

“We are continuing to focus on servicing our clients in this heightened environment of volatility and transaction volumes. Mphasis has no business with or exposure to Silicon Valley Bank, Signature Bank or Silvergate Capital, either as a client or banker,” the IT major said on March 29, 2023.

Mphasis underlined that its business from US regional banks is a low single-digit percentage contribution to the overall revenue.

As a result, shares of the IT services provider gained 2.55% to Rs 1,711.75 apiece on Wednesday, as investor concerns soothed.

To understand more about trading and navigating the markets at a time like this, Investing.com is conducting a webinar on Wednesday, March 29, 2023 at 7:30 pm Indian Time. You can find more details here: Where Should You Invest Right Now? Heres Warren Buffetts Advice

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