ArdorComm Media News Network
September 2, 2026
ITC Infotech, the wholly owned technology services arm of ITC Limited, is set to merge with Bengaluru-based Happiest Minds Technologies, creating an AI-first enterprise targeting a turnover of USD 1 billion by FY28.
As part of the transaction, ITC Infotech will acquire a 22.106 per cent stake in Happiest Minds from its promoter Ashok Soota and Ashok Soota Medical Research LLP for around Rs 1,330 crore, according to regulatory filings. Following the acquisition, Happiest Minds will be amalgamated into ITC Infotech.
The combined organisation will have a workforce of more than 19,000 professionals and is expected to offer end-to-end technology solutions across build, intelligence and operations. The merger will also strengthen its presence in high-growth sectors such as hi-tech, healthcare and edtech.
The promoter stake acquisition will take place in two phases. ITC Infotech will first purchase an 11 per cent stake at Rs 390 per share, followed by another 11.106 per cent stake at Rs 400 per share.
Once the merger takes effect, ITC Infotech is proposed to be listed on both the BSE and the National Stock Exchange. Under the approved share-swap arrangement, shareholders of Happiest Minds will receive 25 fully paid-up equity shares of ITC Infotech with a face value of Rs 10 each for every 81 Happiest Minds shares of Rs 2 each.
Following the transaction, ITC Limited will become the promoter of the merged entity with a 73.4 per cent stake. Meanwhile, Happiest Minds’ existing promoters will be reclassified as public shareholders and will collectively hold a 7.6 per cent stake in the combined company.
ITC Limited and ITC Infotech Chairman Sanjiv Puri said the merger would bring together the two companies’ complementary strengths, domain expertise and technology capabilities, enabling them to offer advanced solutions across global markets. He also highlighted the shared focus on people and customers between the two organisations.
According to the regulatory filings, the merged company will rank as India’s 11th-largest listed IT services company by revenue. The entity will have combined FY26 revenue of Rs 7,033 crore and operations across the US, Europe, the Middle East, Asia-Pacific and India.
Happiest Minds posted consolidated revenue of Rs 2,315.11 crore in FY26, while ITC Infotech reported revenue of Rs 4,718 crore during the same period.
Separately, the Happiest Minds board has approved a proposal to shift the company’s registered office from Karnataka to West Bengal, subject to approval from shareholders and the relevant regulatory authorities.
The proposed merger comes amid increasing consolidation in India’s technology services sector, with companies seeking scale and stronger capabilities in artificial intelligence and digital engineering. Earlier this year, Persistent Systems announced plans to acquire German digital engineering company Nagarro, with the proposed combination targeting a USD 2.9 billion revenue run-rate and a workforce of more than 46,000 employees across over 40 countries.
Source: PTI