BASF sells IT services arm to Tech Mahindra
28 Feb 2014
Tech Mahindra GmbH, Dusseldorf, a wholly-owned German subsidiary of Indian IT services major Tech Mahindra Limited, is acquiring BASF Business Services Holding GmbH for an undisclosed sum, to expand its footprint in the European market. The deal includes acquisition of the Hamburg-based 100-per cent-owned subsidiary, BASF Business Services Consult GmbH.
BASF Business Services Holding GmbH will in future focus on providing information services, supply chain operations and business process management for BASF Group, Tech Mahindra said in a release.
BASF Business Services Holding GmbH (formerly BASF IT Services Holding GmbH) is an indirect wholly-owned group company of BASF SE. The innovative and competitive service portfolio ranges from consulting, development and operation of IT systems to the design and optimisation of business processes throughout the value chain.
Legal closing of the transaction is expected to happen in the first quarter of FY 2015. All 60 employees of BASF Business Services Consult GmbH will be transitioned to Tech Mahindra as part of this transaction.
''This is a strategic move and a testimony of our commitment to the region. It will bring us closer to our customers and will help us to deliver holistic solutions. I'm confident that the acquisition will spur rapid growth in this region,'' Vikram Nair, head – Europe (Enterprise), Tech Mahindra, said.
This acquisition will see the creation of a strong ICT player in the region with strengths in Application and Infrastructure Business Services. The transaction will be carried out by Tech Mahindra GmbH, a wholly owned subsidiary of Tech Mahindra Ltd, he added.
Earlier this week, Tech Mahindra acquired a Sweden-based Type Approval Lab for undisclosed amount to strengthen lab presence in Europe, Middle East and Africa (EMEA) regions.
Tech Mahindra, which now owns former Satyam Computers, has, over the past two years, acquired stakes in Comviva, Hutchison Global Services (call centre arm of Hutch) and Dion Global Solutions Ltd.