Mindtree & L&T Infotech Merger Likely: The country’s two leading IT companies Mindtree and L&T Infotech may merge. Both the software companies are part of engineering giant L&T Group. and L&T are looking to merge the two to form a large $22 billion IT company and compete with global IT companies of the world.
According to media reports, Mindtree and Larsen & Toubro Infotech may consider a share swap next week for merger. However, the date has not been fixed for this nor has it been shared with the stock exchange.
L&T bought Mindtree in 2019, in which it holds 61 per cent stake. The market capitalization of Mindtree is close to $8.3 billion. While L&T holds 74 per cent stake in L&T Infotech, which has a market capitalization of $13.6 billion. Discussions are going on for the merger of both the IT companies.
However, the era of merger merger has started in the country. Earlier, two big companies in the multiplex sector, INOX and PVR, are merging with each other. So the home loan finance company HDFC is going to merge with HDFC Bank. And now L&T is considering merging its two IT companies.
After this news, Mindtree’s stock closed at 3957 with a fall of 3.45. While the stock of L&T Technology closed at Rs 4305, down 4.49 per cent.