Mahindra to buy up to 5.5 p.c in TechM from BT

MUMBAI, INDIA: Mahindra & Mahindra said on Friday that it has agreed to buy up to 5.5 per cent of Tech Mahindra from BT Group Plc over time at a market related price. BT Group owns about 30 per cent of Tech Mahindra.

The company will also grant BT a waiver of M&M's pre-emption rights under the Shareholders' Agreement between Mahindra & Mahindra, Tech Mahindra and British Telecommunications for the balance of BT's shareholding in TM which M&M has not agreed to acquire, subject to certain conditions, M&M said in a regulatory filing.

Satyam Tech Mahindra merger to take a year

M&M and BT have also agreed that, as and when such balance shareholding of BT in TM falls below 10 per cent of TM's issued share capital, the Shareholders' Agreement between M&M, TM and BT will automatically terminate.

M&M has also agreed to consider any further proposals that may be received from BT from time to time in this regard, said the regulatory filing.