Infosys loses 44% of its investment in Panaya, may see further erosion

Panaya was the first buy under then CEO Vishal Sikka

Infosys, the country’s second-largest IT services company, on Thursday said the fair value of its subsidiary Panaya at the end of 2017-18 stood at $130 million, a sharp drop of 44 per cent of the investment the company had made in the Israeli automation company.

In a regulatory filing with the Securities and Exchange Commission (SEC), the regulator in the US, the company, basing itself on its negotiations with prospective buyers, said it might see a further erosion in Panaya’s fair value.

Earlier this year, Infosys has put Panaya and another acquisition, Skava, on the block, saying the subsidiaries didn’t