- ITC Infotech announced the acquisition of a 22.1% stake in Happiest Minds Technologies for around ₹ 1,330 crore, leading to a merger that will create a USD 1 billion tech giant.
- Happiest Minds and ITC Infotech have signed definitive agreements to combine their businesses, with the merger expected to be completed over the next 15 months pending approvals.
- Post-merger, ITC Limited will hold a 73.4% stake in the combined entity, while Happiest Minds shareholders will hold 26.6%.
- The combined entity aims to achieve USD 1 billion in revenue by FY28 and will employ over 19,000 professionals.
- The merger will be executed through a share swap, where equity shareholders of Happiest Minds will receive 25 shares of ITC Infotech for every 81 shares of Happiest Minds held.
- The combined company will leverage complementary strengths in AI, digital engineering, cloud, data, and cybersecurity, enhancing its ability to deliver value to customers.
ITC Infotech is set to acquire a 22.1% stake in Happiest Minds Technologies for ₹1,330 crore, facilitating a merger that will create a US$1 billion AI-first tech services enterprise. The acquisition involves purchasing 3,36,61,700 equity shares from promoter Ashok Soota in two tranches.14
Post-merger, ITC Limited will hold a 73.4% stake in the new entity, while Happiest Minds' shareholders will retain 26.6%. The combined workforce will exceed 19,000 professionals, targeting US$1 billion in revenue by FY28.5
Sanjiv Puri, Chairman of ITC Limited, expressed optimism about the merger, stating, “The coming together of our complementary strengths... will further enhance our ability to deliver cutting-edge solutions.” The merger will be executed through a share swap, with Happiest Minds shareholders receiving 25 shares of ITC Infotech for every 81 shares they hold.67
The companies anticipate completing the transaction within 15 months, pending regulatory approvals. The merger is expected to unlock significant growth opportunities, including cross-selling services across a combined client base of over 800 clients and enhancing collaboration with strategic partners like Microsoft and SAP.23
The combined entity will leverage strengths in AI, digital engineering, cloud, cybersecurity, and more, positioning itself to capture emerging opportunities in AI-led transformation.
“The deal involves a share swap where Happiest Minds shareholders receive 25 ITC Infotech shares for every 81 held, and the merged entity will list on BSE and NSE. ITC Limited will hold 73.4% of the combined company, which expects to serve 800+ customers across 30+ countries.”
