Blackstone to buy 52 percent stake in R Systems International; details here

Shares of R Systems International rose more than 15 percent to stand at Rs 271.10 apiece on BSE at the end of the trading session today, 17 November. This development comes after the US investment fund Blackstone Inc stated that it is going to purchase a 52 percent stake in the Indian IT services company for $359 million. The financial advisor to the sellers of R Systems is BDA Partners, while AZB & Partners is the legal advisor. KPMG, Simpson Thacher & Bartlett, and Cyril Amarchand Mangaldas are advising Blackstone on the deal. At present, Dr. Satinder Singh Rekhi and the other promoters have around 52 percent stake in R Systems, which Blackstone is going to acquire for Rs 245 per share. Blackstone is also going to roll out a conditional delisting offer at a price of Rs 246 per share. Definitive agreements have been signed between private equity funds managed by Blackstone, Dr. Satinder Singh Rekhi and other promoters of R Systems for buying a majority stake in the IT firm. The transaction will likely be completed in the coming months, based on the regulatory approvals and customary closing conditions. Dr. Rekhi will continue to guide the firm as a non-executive advisor. Dr. Rekhi is confident that Blackstone will take R Systems further ahead. According to him, customers, employees and partners will benefit immensely from the partnership with Blackstone. According to Senior Managing Director of Blackstone, Mukesh Mehta, R Systems is well-positioned to benefit from the digitalization tailwinds, increased openness for outsourcing product development, and shorter product launch cycles. Founded by Dr. Satinder Singh Rekhi in 1993, R Systems is among the leading providers of Information Technology services, and specialises in digital product engineering. The company provides services and solutions across five major business verticals, namely technology, telecom, finance, healthcare, and retail & e-commerce. The revenue of R Systems for the last 12 months stood at Rs 1,445 crore as of 30 September 2022, registering 36 percent year-on-year (YOY) growth. Read all the Latest News , Trending News ,  Cricket News , Bollywood News , India News and Entertainment News here. Follow us on Facebook, Twitter and Instagram.