L&T Infotech to acquire specialist AI company

Larsen & Toubro Infotech (LTI) has entered a definitive agreement to acquire Lymbyc Solutions, a specialist Artificial Intelligence (AI) and machine learning company headquartered in Bangalore.

Lymbyc Solutions Private Limited (Lymbyc) engages in specialist Al, machine learning and advanced analytics company with its proprietary product Leni. The platform has a combination of natural language processing, data visualisation and predictive analytics capabilities. This acquisition will extended these capabilities to LTI and enable the company to offer advanced analytical solutions to its clients. Lymbyc's platform complements LTI's Mosaic platform. Lymbyc operates from Bangalore and also has offices in Chennai and Texas, US. The company's revenue for FY19 were Rs. 71 million.

LTI will acquire 100 per cent of equity shares of Lymbyc for an approximate valuation of Rs. 380 million on a cash-free, debt-free basis. The entire consideration will be paid in cash through a combination of upfront and three-year earnout payments. The acquisition is subject to customary and regulatory conditions and is expected to close within 4 to 6 weeks.

Meanwhile, on Wednesday, the stock of Larsen & Toubro Infotech was quoting Rs. 1,654.35 per cent, up by 0.37 per cent at 10:22 on BSE.