Wipro, the country's third largest IT services firm, today said it has completed the divestment of its data centre business in Germany and the UK along with Wipro Data Centre and Cloud Services, Inc for a consideration of USD 399 million.
In March, the Bengaluru-based company had said it will divest its hosted data centre services business, consisting of Wipro Data Centre and Cloud Services, Inc (US), a portion of data centre business in Germany and UK, and certain employees in India who support the said operations to Ensono for USD 405 million.
"...the divestment of Wipro Data Centre and Cloud Services, Inc, and data centre business in Germany and UK have been completed on June 27, 2018, for a consideration of USD 399 million," Wipro said in a BSE filing.
It added that the impact of this divestment is expected to reflect in the financials of the company for the quarter ending June 30, 2018.
Wipro said the divestment of data centre operations in India is likely to be completed during the September quarter, subject to receipt of requisite regulatory approvals and customary closing conditions.
"Upon completion of such divestment, the company will receive the remaining consideration of USD 6 million from Ensono," it added.
Further, Wipro LLC, a wholly owned subsidiary of Wipro Ltd, has completed the acquisition of 10.2 per cent stake in Ensono Holdings, LLC on June 27, 2018, the filing noted.
In its March filing, Wipro had said the deal would see transition of eight data centres and over 900 employees of the hosted data centre services business to Ensono.
Besides, Wipro was to make a strategic investment of USD 55 million in Ensono's combined entity.
The hosted data centre services business became a part of Wipro when the IT services firm acquired Infocrossing Inc in 2007.
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