India Development News & Foreign Investment Opportunities

L&T makes an offer for shares of US-focused Mindtree

Mindtree opens third office in US


Mindtree opens third office in US



Infrastructure Group Larsen and Toubro has made an open offer for 5.13 crore shares or 31% Bengaluru-based Mindtree, a global technology consulting and services company, helping Global 2000 corporations marry scale with agility to achieve competitive advantage.

The offer is at Rs.980 per share, according to a regulatory filing with Bombay Stock Exchange on 7 June 2019 by Mindtree, which has a strong foothold in the United States corporate market.

Industry estimates put the L&T offer value at Rs.5,029.8 crore for Mindtree which have recently opened a new facility Atlanta for regional presence offering fast, local scaling of strategic projects

“Larsen and Toubro makes a cash offer of Rs.980 per fully paid up equity share of the face value of Rs.10 each, to acquire up to 5,13,25,371 equity shares representing 31% of the voting share capital to the shareholders of Mindtree Ltd,” said the letter of offer Mindtree.

The open offer price is higher than Mindtree’s closing price of Rs.970.45 at BSE.

The tendering for open offer will commence on 17 June and close on 28 June 2019.

In March, L&T had mounted a hostile takeover bid on Mindtree when it entered into a deal to buy Cafe Coffee Day owner V G Siddhartha’s 20.32% stake in Mindtree. It had also placed an order with brokers to pick up another 15 percent of the company shares from the open market.

Subsequent to these deals, L&T is required to make an open offer to buy additional stake. In all, the infrastructure major is eyeing up to 66% stake in Mindtree for around Rs.10,800 crore, reported Press Trust of India.

As of 6 June, L&T’s holding in Mindtree stood at 28.90%.

On 28 May 2019, Mindtree inaugurated its latest US- based Delivery Center in Alpharetta, GA, a 10,000 square foot space dedicated to serving the needs of clients in the Greater Atlanta region.

Mindtree’s newest onshore center provides a local presence near strategic clients and partners, as well as access to further leverage the expertise of technical experts in the region’s workforce.

The Atlanta Delivery Center is Mindtree’s third major office opening in the US in 2019, following recent expansions in both Silicon Valley and Minneapolis.

It is part of Mindtree’s adaptable approach of providing expert on-shore centers of excellence to complement off-shore teams, offering clients and strategic partners highly collaborative and inclusive environments that enable accelerated business transformations.

The Greater Atlanta region has a strong ecosystem of technical education, including Georgia Tech, Emory University, University of Georgia and Georgia State University, accelerating Mindtree’s recruiting efforts and roster of talented Mindtree Minds.

“The Atlanta Delivery Center’s talent and infrastructure further allows us to maximize our value and responsiveness to our clients,” said Paul Gottsegen, Chief Marketing Officer & Head, Mindtree Americas.

“The Greater Atlanta area offers a highly inclusive and diverse living and work environment for our Mindtree Minds, who have an opportunity to do transformative and challenging work,” said Gottsegen.

Mindtree [NSE: MINDTREE] is a global technology consulting and services company, helping Global 2000 corporations marry scale with agility to achieve competitive advantage.

“Born digital” in 1999, more than 340 enterprise clients rely on our deep domain knowledge to break down silos, make sense of digital complexity and bring new initiatives to market faster.

The company enable IT to move at the speed of business, leveraging emerging technologies and the efficiencies of Continuous Delivery to spur business innovation.

Operating across 17 countries, Mindtree is consistently regarded as one of the best places to work, embodied every day by our winning culture made up of 20,000 entrepreneurial, collaborative and dedicated “Mindtree Minds.”

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