Shares of MindTree are rising. Know why

Shares of MindTree Ltd., a mid-sized software services provider, rose more than 3 percent after it announced 2 strategic acquisitions along with its first quarter earnings, that beat street expectations.

MindTree rose 3.8 percent, or 46.5 rupees, to 1,272 rupees on the National Stock Exchange, where 546,700 shares were traded compared with the 5-day average of 298,400 shares.

MindTree said its first quarter profit rose to 138 crore rupees from 129 crores in the same quarter last year. Sales surged to 998 crore rupees versus 851 crore rupees in the year ago quarter. MindTree acquired two companies at the cost of 75 million dollars which are expected to add both clients and profit immediately.

MindTree has seen its market capitalisation gain 45 percent in the past one year to 10,650 crore rupees.

(Image credit: Indiatimes)