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Virtusa Corporation of the US will acquire 53 per cent of Polaris Consulting and Services from promoter entities led by Arun Jain and other shareholders, including Orbitech. It will pay a consideration of ₹220.73 per share, aggregating to around ₹1,173 crore.
In addition, Virtusa, an IT consulting, systems implementation and application outsourcing service provider, will make an unconditional mandatory offer to the public shareholders of Polaris to purchase up to an additional 26 per cent of the company’s outstanding shares.
Both the companies signed a definitive Share Purchase Agreement on Thursday, wherein a subsidiary of Virtusa Corporation will acquire the shares from Polaris’ shareholders, says a press release from the Chennai-headquartered company.
The board of Polaris, which provides software services to clients in the banking and financial services sectors, approved the agreement saying “Virtusa will be a complementary partner …to drive the digital agenda of the global banking and financial services industry”.
The transaction is expected to close in the March 2016 quarter, upon which the combined employee strength will be over 16,000 employees. Virtusa has 9,800 employees while Polaris has 7,600.
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