Tech Mahindra acquires a US-based IT company for Rs 927 odd crore
Tech Mahindra approved the proposal to acquire a 100 per cent stake in Allyis India Private Ltd and Green Investments LLC, holding company for Allyis Group (together called - Target)
Name: The target entity is Allyis India Pvt Ltd and Green Investments LLC, holding company for Allyis Group (together called - Target). Target is headquartered in Seattle (USA) and has more than 660 employees.
Cost of acquisition: Tech Mahindra will pay a total consideration of up to USD 125 million (Rs 927 crore) including employment-related and performance-related earnouts.
Industry: IT services
Objective: The acquisition will strengthen Tech Mahindra’s capabilities in Digital Experience Solutions: Learning & development, marketing, instructional design; Engineering: Cloud & automation, BI & analytics, and technical support services.
Business/product segment and three-year revenue: Target offers technology consulting & managed services that help organisations reduce costs, improve performance, and meet their unique objectives. While Allyis India Pvt Ltd was incorporated in 2018, Green Investments LLC was incorporated in 2013. The total turnover of the last three years for the two entities is as follows: -
CY20: USD 39.6 million, CY19: USD 34 million, CY18: USD 31 million
The CY21 turnover for the first 11 months starting January 1, 2021, to November 30, 2021, is at USD 45.7 million.
At 3.30 pm, the shares of the company were closed flat.