British consultancy major Axon Group on Thursday decided to go ahead with a pound 441-million acquisition offer from HCL Technologies, while withdrawing its support to a smaller bid from Infosys.
Raises offer 8.3 per cent; Infosys says it is 'considering its position'.
The shares represent around 0.2 per cent of the existing issued share capital of Axon. The undertakings, according to a BSE announcement, remain binding even if a higher offer is made by a third party, but cease to be binding if the HCL scheme is withdrawn or lapses, or if the HCL acquisition is implemented by way of a takeover offer.
The strategic buyout of Axon will increase Infosys' share in the high-growth SAP segment and consolidate its position in Europe.
Infosys had bid at 600 pence a share for the UK company. Infosys will get the one per cent inducement fee that Axon has to pay to the party unable to close the deal.
The Indian IT major spent a total of Rs 15 crore (Rs 150 million) towards the failed deal, but in the process received Rs 33 crore (Rs 330 million) from the UK firm, as inducement fees. Two of India's leading software services firm were in the race to acquire the London Stock Exchange-listed Axon, but last month HCL Technologies outbid Infosys and acquired the British firm.
Wipro sees a silver lining in Q1; others say recovery by 2009-end.
When the firm decides what to do, we will evaluate it.
Randeep Hooda is all set to get married to girlfriend Lin Laishram in Imphal, Manipur, on November 29.
Pravin Rao says firms with revenue of $600-700 millon will be preferred.
'My ethnicity has been my biggest struggle in the industry, a setback in getting me work.'
As the MAMI film festival kicks off, Aseem Chhabra picks the must watch Indian movies.
The analyst community tracking the Indian IT services industry took special note of Accenture's first quarter (Q1) performance, which showcased the rapid growth of its consulting business that outperformed its outsourcing business. Bookings indicate that the trend will continue. Consulting bookings increased 41.6 per cent year-on-year (yoy) to $9.4 billion, higher than the 17.6 per cent growth in outsourcing to $7.4 billion. The management commentary was also more bullish on the consulting business.
Anant Gupta, HCL Technologies' chief has an amazing success formula to get things done.
