Infosys has finalized the sale of a 2% stake in its Japan-based joint venture, HIPUS, to Mitsubishi Heavy Industries (MHI), marking a significant milestone in the company’s strategy to deepen its presence in the Japanese market and accelerate digital transformation in procurement services.
Transaction Details:
Infosys sold a 2% stake in HIPUS, its majority-owned joint venture specializing in digital procurement solutions for Japanese enterprises, to Mitsubishi Heavy Industries. The deal is valued at JPY 150 million (approximately ₹8.9 crore) and is expected to close in the first quarter of FY2026, ending June 30, 2025, subject to customary closing conditions.
Strategic Collaboration:
MHI, a longstanding client of HIPUS, becomes a strategic investor through this transaction. The investment is designed to strengthen the partnership, enabling both companies to explore new business opportunities and enhance procurement operations using advanced analytics and digital platforms.
Market Impact:
The collaboration is seen as a major step for Infosys in the traditionally challenging Japanese market, providing enhanced credibility and access to a broader network of Japanese corporations. It also signals a shift among Japanese industrial conglomerates toward embracing external expertise for digital transformation in procurement.
Operational Synergy:
HIPUS, established in 2019, leverages Infosys’ global digital capabilities and procurement expertise to deliver end-to-end solutions. The joint venture already provides services to MHI beyond Japan, showcasing the scalability of its offerings.
Leadership Commentary:
Infosys leadership emphasized that this partnership reinforces their commitment to Japan and will help accelerate the digital business process transformation journey for enterprises in the region. MHI expects HIPUS’ advanced analytics to significantly improve procurement operations and decision-making.
This transaction not only monetizes a small portion of Infosys’ stake but also strategically aligns HIPUS for further growth in digital procurement, both in Japan and globally.
Source: Outsource Accelerator, GuruFocus, PR Newswire, Deccan Herald, StockTitan