Tech Mahindra set to acquire third-party enterprise application software for $42 million

Tech Mahindra may seek to integrate Thirdware products with its metaverse offering, the TechMVerse

Tech Mahindra is acquiring IT services company Thirdware Solutions in an all-cash deal for consideration of up to $42 million, including earn-outs.

The transaction, to acquire 100% of the Mumbai-based global enterprise applications player, is expected to close by May 31, Tech Mahindra said in a filing on Saturday.

Thirdware has over 850 employees and provides enterprise application consulting, design, implementation and support services with a focus on the automotive industry. For 2020-21, it had recorded Rs 210.6 crore in revenue. For the first 10 months of the current financial year, revenue was Rs 226.5 crore.

Acquisition will strengthen Tech Mahindra’s digital solutions and services in automotive consulting, design, development and implementation in areas including ERP, enterprise performance management, process automation robotics and the Industrial Internet of Things). Tech Mahindra said Thirdware’s ability to provide end-to-end implementations and global deployments of ERP solutions will give it an edge in the manufacturing space.