Happiest Minds and ITC Infotech Agree to Merge

Happiest Minds Technologies and ITC Infotech have signed definitive agreements to combine their businesses, announced in a press release. The companies said the merged entity is expected to reach US$1 billion in annual revenue by FY28, with more than 19,000 employees, over 800 customers, and operations in more than 30 countries.

The combined company will cover AI, digital and product engineering, cloud, data, cybersecurity, consulting, SAP, product lifecycle management, Industry 4.0, and industry specific technology services.

Under the transaction, ITC Infotech will buy about 22.1% of Happiest Minds from promoter and promoter entities in two tranches for ₹1,330 crore, at an average price of about ₹395 per share. The merger will use a share swap, with Happiest Minds shareholders receiving 25 ITC Infotech shares for every 81 Happiest Minds shares.

The deal requires statutory, shareholder, and regulatory approvals, including from the Competition Commission of India, relevant stock exchanges, and the National Company Law Tribunal. The companies expect completion over the next 15 months and will operate independently until approvals are received. The combined company is planned to be listed after approvals.