BT Buzz: As L&T acquires 60%, what lies ahead for Mindtree and its founders
After the hostile takeover by L&T, a management change and a board are rejig are likely to happen at Mindtree. A merger between the two companies is eminent too, in mid-term if not in near future.
- Jul 3, 2019,
- Updated Jul 3, 2019 6:18 PM IST
In a first successful hostile takeover in the Indian IT services space, Mindtree has now become a subsidiary of construction major Larsen & Toubro (L&T). L&T's open offer to buy up to 5,13,25,371 equity shares in Mindtree - representing 31 per cent of the voting equity share capital - closed last week with an over-subscription by 116 per cent. Even as promoters chose to stay away from tendering their own shares, with a once reluctant Nalanda Capital tendering its entire 10.6 per cent holding in the company, L&T now sits comfortably at over 60 per cent holding in the company.
BT Buzz: Debt, losses spike; how long can Tata Steel survive in Europe?
In a first successful hostile takeover in the Indian IT services space, Mindtree has now become a subsidiary of construction major Larsen & Toubro (L&T). L&T's open offer to buy up to 5,13,25,371 equity shares in Mindtree - representing 31 per cent of the voting equity share capital - closed last week with an over-subscription by 116 per cent. Even as promoters chose to stay away from tendering their own shares, with a once reluctant Nalanda Capital tendering its entire 10.6 per cent holding in the company, L&T now sits comfortably at over 60 per cent holding in the company.
BT Buzz: Debt, losses spike; how long can Tata Steel survive in Europe?