MindTree to buy majority stake in Aztecsoft

BANGALORE, INDIA: MindTree Ltd, a global IT and R&D services company, today signed a definitive agreement with Aztecsoft Ltd, to acquire 32.57 per cent at Rs 80 per share.

The transaction values the company at an equity valuation of $90 million.

MindTree will also announce an open offer to Aztecsoft’s public shareholders to purchase up to an additional 20 per cent equity ownership interest.

These transactions are subject to customary regulatory filings, clearances and approvals.

After the completion of these transactions, MindTree will initiate the process of merging Aztecsoft into itself, MindTree said in a release.

“Aztecsoft is truly aligned with MindTree’s values, culture and high standards of corporate governance. We believe this step will be beneficial for customers, people and shareholders of both the organizations,” said MindTree chairman and managing director Ashok Soota.

With the addition of Aztecsoft, MindTree will offer customers a complete outsourced product development (OPD) product stack encompassing embedded, platform/infrastructure, middleware, application, and SaaS/cloud-computing software segments.

“Aztecsoft will complement MindTree’s expertise in both IT and R&D Services. For our IT Services customers, Aztecsoft’s software product knowledge will give us a unique edge in architecting, integrating, deploying and managing the right solutions,” said MindTree chief executive officer Krishnakumar Natarajan.

Aztecsoft, an OPD and testing company has over 2,100 employees. Together, MindTree will have over 2,000+ Testing services team, making it one of the strongest in the market, MindTree statement said.