MUMBAI: The Board of Directors of Tech Mahindra Limited has approved the proposal to acquire 18.1% equity stake each of M/s lnfotek Software and Systems Private Limited and M/s Vitaran Electronics Private Limited against a cash consideration of INR 130 million.
lnfotek Software and Systems Pvt. Ltd. and Vitaran Electronics Pvt. Ltd. are the two entities in which Tech Mahindra Limited will be purchasing 18.1% equity stake in each of these entities. For the 12 month period ending September 30, 2018, lnfotek had revenue of INR 292.8 million and Vitaran had revenue of INR 126.8 million.
Tech Mahindra intends to leverage the presence of the companies in the Radio Frequency Identification (RFID) space in building a strong footprint in the asset monitoring, tracking and automated billing solutions space.
The investment will also help expand Tech Mahindra’s solution portfolio to cater to the smart city projects.
lnfotek was incorporated in the year 2000 and is engaged in trading of RFID products and providing supporting installation and software maintenance services.
Vitaran was incorporated in the year 2006 and is engaged in trading of RFID products which form part of access control systems. Both companies are India-based.[the_ad id=”31605″]