Coforge to Fund Encora Acquisition via Bank Loan, Rules Out QIP

• Coforge CEO Sudhir Singh confirmed the Encora acquisition will be financed through a bank loan, not a Qualified Institutional Placement (QIP).
• The company secured loan funding from a consortium of banks at an attractive mid-single digit interest rate, avoiding equity dilution.
• The Encora deal is progressing smoothly and is expected to close around April this year, adding new growth levers like high tech and LATAM geography.
• Coforge reported strong Q3 results, with BFSI expected to be the fastest-growing vertical in FY27, driven by large deal momentum.
• The company anticipates 2026-27 to be an exceptionally good year for growth and aims for incremental margin improvement, maintaining 14% as a floor.

Why It Matters: Coforge opts for bank loan over QIP for Encora acquisition, ensuring no equity dilution and strong future growth.