Wipro’s stock fell by 2% on Wednesday after the news that the company acquired a 60% share in Aggne Global, a US-based insurtech firm with an investment of $66 million.

Aggne is a consulting and managed services firm catering to the insurance and Insurtech sectors. The acquisition aimed to enhance the competitive edge of IT firms in the insurance domain, specifically within the property and casualty (P&C) insurance segment.

By acquiring a majority stake in Aggne through this investment, Wipro would gain access to a distinctive set of capabilities and Intellectual Property (IP) within the P&C insurance sector.

According to a press release filed on the exchange, Ritesh Talapatra, Senior Vice President of Capital Markets and Insurance, Americas 2 Strategic Market Unit, Wipro Limited, said that the Aggne team has deep and well-established experience in the P&C insurance space. Their unique IP and modular approach to implementations significantly accelerate time-to-market, driving faster business outcomes and better client satisfaction. This, combined with Wipro’s deep relationships and global scale, will help us drive significant synergies and uncover new growth opportunities.

Established in 2019, Aggne operates in both the US and India, with a corporate presence in Tampa, Florida, and Hyderabad, India. The company employs 230 professionals across its offices in both countries.

However, despite a weak opening, Wipro’s share closed 0.22% higher at Rs 512.75 on the National Stock Exchange (NSE).