New Delhi, September 1(APAC Media): Happiest Minds Technologies will merge with ITC Infotech as part of a deal that will give ITC Infotech a larger presence in India’s technology services market.
The companies announced the proposed combination on August 31, with ITC Infotech agreeing to acquire a 22.1% stake in Happiest Minds from its promoter group for about ₹1,330 crore. The merger will subsequently be completed through a share-swap arrangement.
Under the proposed deal, shareholders of Happiest Minds will receive 25 shares of ITC Infotech for every 81 shares held. ITC Limited is expected to hold about 73.4% of the merged company.
Combined IT Services Business
The combined business is expected to have FY26 revenue of around ₹7,033 crore and more than 19,000 employees. The companies are targeting annual revenue of $1 billion by FY28.
The merger will bring together Happiest Minds’ capabilities in AI, digital engineering, cloud, data and cybersecurity with ITC Infotech’s expertise in enterprise transformation, SAP, product lifecycle management and Industry 4.0.
The companies also expect the combination to expand their presence across sectors including BFSI, healthcare, manufacturing, consumer goods, hospitality and education.
Deal Still Needs Regulatory Approvals
The transaction is not yet complete. It requires approvals from shareholders, the Competition Commission of India, stock exchanges and the National Company Law Tribunal.
The companies expect the process to take around 15 months and will continue operating independently until the required approvals are received.
The proposed merger comes at a time when Indian IT services companies are increasing investments in artificial intelligence, cloud computing and enterprise technology, while also looking for greater scale in global markets.
The combined company will be listed on the relevant stock exchanges after completion of the merger process.
