 "Tech Mahindra to acquire BASF Business Services Consult GmbH")
Financial details of the deal were not disclosed. BASF Business Services Consult, the 100 per cent subsidiary, manages the business with third party customers of BASF Business services Holding. BASF Business Services Holding GmbH (earlier called as BASF IT Services Holding GmbH) is an indirect wholly owned group company of BASF SE.
The transaction is expected to close in the first quarter of FY 2015. All 60 employees of BASF Business Services Consult GmbH will be transitioned to Tech Mahindra as part of this transaction. BASF Business Services Holding GmbH will in future focus on providing information services, supply chain operations and business process management for BASF Group.
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Vikram Nair, Head – Europe (Enterprise), Tech Mahindra, said, “This is a strategic move and a testimony of our commitment to the region. It will bring us closer to our customers and will help us to deliver holistic solutions. I’m confident that the acquisition will spur rapid growth in this region.”
The service portfolio ranges from consulting, development and operation of IT systems to the design and optimization of business processes throughout the value chain. This acquisition will see the creation of a strong ICT player in the region with strengths in application and infrastructure business services.
The transaction will be carried out by Tech Mahindra GmbH, a wholly owned subsidiary of Tech Mahindra. Tech Mahindra has been on an acquisition trail as it looks at expanding into other geographies and market segments.
In 2012 the company acquired Hutchison Global Services for a sum of $87 million, under this deal the company also received committed business of $ 845 million over a five-year period. In the same year it also acquired VCustomer for $27 million, and Comviva. In 2013 it acquired Brazilian firm Complex IT. It also merged Mahindra Engineering Services.