Virtusa To Buy 53% Stake In Polaris Consulting

(RTTNews) - U.S.-based technology outsourcing company Virtusa Corp has entered into a definitive agreement to buy a 53 percent stake in mid-tier Indian IT firm Polaris Consulting & Services for Rs 1,173 crore. The deal will help Virtusa expand its presence in the global banking and finance (BFS) industry.

Virtusa also launched an "unconditional mandatory" offer to the public shareholders of Polaris to acquire 26 percent of the public shareholding in Polaris Consulting at Rs 220.73 per share.

According to conditions agreed upon by the parties, some promoters of Polaris Consulting - Arun Jain and other shareholders, including Obitech Pvt Ltd will sell their stake in the company.

"The combination of Virtusa and Polaris will enable us to provide end--to-end global BFS services and solutions, expand our addressable market, and position us to pursue larger consulting and outsourcing opportunities," said Virtusa chief executive officer Kris Canekeratne.