Wipro acquires Olam Group IT unit for 375 million dollars
Wipro will acquire Olam Group’s IT unit for 375 million dollars. The deal includes an eight-year service contract valued at more than 1 billion dollars.
Shares of WIPRO LTD rose as much as 3.2% in India on Monday after the company announced an agreement to acquire the IT services business of Singapore-based OLAM GROUP LTD. The deal, which carries an enterprise value of $375 million, led to Wipro becoming the top gainer on the IT index during morning trade. By mid-morning, Wipro's stock was up 1.9%, ranking as the second-largest gainer on the benchmark Nifty 50 index, which was trading 0.2% lower.
Under the terms of the agreement, Olam Holdings will sell 200 million ordinary shares of Mindsprint, its digital services arm, to Wipro Networks. Mindsprint provides technology and cybersecurity services across various sectors including food, agribusiness, manufacturing, retail, and healthcare.
