Tech Mahindra on Monday announced that it has acquired 100 per cent stake in European engineering firm Com Tec Co IT (CTC) and a 25 per cent stake each in insurtech SaaS ventures SWFT Technologies and Surance Ltd. Both the companies are founded by the same founder group.
CTC has been acquired for €310 million including earnouts and synergy linked payouts. In addition, a cumulative amount of €20 million was invested to acquire stakes in SWFT and Surance. CTC has 720 employees who will now be a part of Tech Mahindra.
Digital drive
Vivek Agarwal, President - BFSI, HLS, and Corporate Development, Tech Mahindra, said, “ In order to enable this digital transformation, we are investing in strengthening our capabilities to support insurers in accelerating their transition to cloud-based platforms and provide end-to-end engineering with a strong European nearshore presence. We welcome the CTC team into the Tech Mahindra family, and we expect to achieve significant market and service line synergies through this combination.”
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Through these investments, the IT major wants to strengthen its global leadership and demonstrate its commitment in building differentiated capabilities for accelerating the digital transformation in the insurance, reinsurance, and financial services. CTC’s expertise and experience in delivering marquee solutions for customers will complement Tech Mahindra’s offering to provide end-to-end digital engineering, Artificial Intelligence, Machine Learning and DevSecOps capabilities.