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Tech Mahindra gains after selling stake in step-down subsidiary

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Last Updated : Mar 04 2020 | 11:31 AM IST

Tech Mahindra on Tuesday announced sale of investment in Terra Payment Services (Netherlands) BV, a step down subsidiary of the company.

Tech Mahindra has sold Terra Payment Services (Netherlands) BV & its subsidiaries for an upfront payment of $9 million and a bonus pay-out upto $13.8 million to Prime V Holding 2 EV and Partech Africa SLP as on Tuesday, 3 March 2020 on a slump sale basis. The companies entered into an agreement on 12 September 2019.

Prime V Holding 2 EV was incorporated under laws of Netherland. Partech Africa SLP is a French partnership firm registered with Paris Register of Commerce and Companies. The announcement was made post trading hours yesterday, 3 March 2020.

The IT firm's consolidated net profit gained 1.95% to Rs 1,145.90 crore on a 6.44% rise in net sales to Rs 9,654.60 crore in Q3 December 2019 over Q2 September 2019.

Tech Mahindra is engaged in the business of computer programming, consultancy and related services. The firm's segments include information technology (IT) services and business processing outsourcing (BPO). The company operates in various sectors, including telecom business and enterprise solutions business.

Shares of Tech Mahindra rose 0.60% to Rs 757.10. The scrip was trading in the range of 751.20 to Rs 761.75 so far.

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First Published: Mar 04 2020 | 10:57 AM IST

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