Wipro merges North American subsidiaries; deregisters Australian unit

Indian IT services company Wipro has completed the merger of its step-down subsidiary, Designit North America, Inc., with Wipro Designit Services, Inc. This merger became effective on July 1, according to a company release.
 
In addition to the North American consolidation, Wipro has deregistered its Australian subsidiary, Attune Australia Pty Ltd, effective from June 26. The company stated that these moves are part of a strategic effort to rationalise and consolidate its group structure.
 
Wipro Designit Services, Inc. reported a turnover of $48 million, whereas Designit North America, Inc. had a turnover of $1.6 million as of March 31. Meanwhile, the Australian subsidiary generated revenue from operations amounting to AUD 269,554 as of the same date.
 
The changes reflect Wipro’s ongoing strategy to streamline operations and reduce overhead costs. Last year, the company announced the merger of five wholly-owned subsidiaries into Wipro Ltd to consolidate business operations and achieve operational synergies.
 
Rishad Premji, Wipro's Chairman, acknowledged the challenging global economic climate in the company’s annual report for 2023-24, released last week. He noted that the fiscal year 2024 has been one of the most challenging periods in Wipro's history, impacting client technology expenditures.
 
Over the past year, Wipro has experienced significant internal changes, including weak revenue growth compared to its competitors and the appointment of a new CEO and MD, Srini Pallia, in April 2024.