Will Tech Mahindra buy stake in software maker Comviva?

Indian software services provider Tech Mahindra is set to announce on Monday a deal to acquire a majority stake in mobile phone software maker Comviva, three sources with direct knowledge of the plans said.

The deal is likely to be valued at between $125 million and $150 million, one of the sources said. All the sources declined to be named as they were not authorised to speak to the media before the deal is made public.

Tech Mahindra, which provides IT services to telecoms firms including BT Group and AT&T , has called a news conference in New Delhi at 1030 GMT "for a strategic business announcement", according to an invite sent to the media.

Billionaire Sunil Mittal's Bharti Group, which controls top telecoms carrier Bharti Airtel , is the biggest shareholder in Comviva. WestBridge Capital, Sequoia Capital and Cisco Systems are the other investors in the company.

Reuters

Bharti Airtel does not own any stake in Comviva.

The three private equity investors are selling their stake to Tech Mahindra, while Bharti Group is selling part of its holding in Comviva and does not plan to completely exit the company, two of the sources said.

Bharti Group and Tech Mahindra declined comment.

Tech Mahindra, a unit of tractor and sports utility vehicles maker Mahindra & Mahindra , earlier this month agreed to buy Hutchison Whampoa's back-office call centre business in India for $87.1 million.

Reuters


Updated Date: Dec 20, 2014 12:01 PM

Also Watch

IPL 2018: Royal Challengers Bangalore eye revival against Chennai Super Kings as 'Cauvery Derby' comes back to life
  • Thursday, April 26, 2018 In the Kanjarbhat community, a campaign against 'virginity tests' is slowly gaining ground
  • Tuesday, April 24, 2018 It's A Wrap: Beyond the Clouds stars Ishaan Khatter, Malavika Mohanan in conversation with Parul Sharma
  • Monday, April 9, 2018 48 hours with Huawei P20 Pro: Triple camera offering is set to redefine smartphone imaging
  • Monday, April 16, 2018 Rajyavardhan Singh Rathore interview: Sports can't be anyone's fiefdom, we need an ecosystem to nurture raw talent

Also See