ITC Infotech and Happiest Minds are set to combine operations in a strategic deal aimed at creating a US$1 billion AI-driven global technology services company, pending regulatory approval within 15 months.
Shares of Happiest Minds Technologies and ITC Infotech were in focus on Tuesday after the two companies announced plans to combine in a deal that will create a larger, AI-led technology services group with ambitions of reaching US$1 billion in revenue by FY28. According to statements released to the stock exchanges, the merged business will draw on Happiest Minds’ strengths in artificial intelligence, digital engineering, cloud, data analytics and cybersecurity, alongside ITC Infotech’s work in enterprise transformation, SAP, product lifecycle management and industry-specific technology services.
Under the deal, ITC Infotech will buy a 22.1 per cent minority stake in Happiest Minds from its promoter group in two tranches for ₹1,330 crore, at an average price of about ₹395 a share. The transaction will then be followed by an amalgamation, with Happiest Minds investors receiving 25 shares of ITC Infotech for every 81 shares they currently hold, according to the companies.
The merger still needs approvals from regulators, shareholders and other authorities, including the Competition Commission of India, stock exchanges and the National Company Law Tribunal. The companies said they expect the process to take about 15 months and will continue to operate separately until the formalities are completed. Once the combination is approved, the merged company is expected to be listed on the relevant stock exchanges.
In comments released by Happiest Minds, chairman and chief mentor Ashok Soota said the tie-up would place the company within a larger organisation and create strong operational synergies. ITC chairman and ITC Infotech chairman Sanjiv Puri said the merger would combine complementary capabilities, while Happiest Minds co-chairman and chief executive Joseph Anantharaju said the deal would broaden the company’s ability to serve customers across geographies. Managing director Venkatraman Narayanan added that the transaction reflected a commitment to governance, financial prudence and long-term value creation, with ITC’s backing seen as a source of scale and stability.
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