Mindtree, a digital transformation and technology services firm, entered into an agreement to acquire NxT Digital Business, a start-up set up by the L&T Group, to broaden its digital capabilities for a total cash consideration of ₹198 crore. As per a statutory filing by Mindtree on Thursday, the transaction is being done at arm’s length, based on an independent valuation report obtained from a global firm. NxT Digital posted a revenue of ₹37.59 crore in FY21. The deal would be completed before July, it said.
NxT Digital Business offers deep technology expertise in industrial IoT, artificial intelligence, machine learning and augmented and virtual reality, geospatial and cybersecurity applications.
“There is a huge opportunity ahead as global manufacturers and industrial companies are increasingly adopting Industry 4.0-focused smart solutions, systems, and processes, but are struggling to leverage data and analytics to drive efficiency and competitive advantage,” said S. N. Subrahmanyan, chief executive officer and Managing Director, Larsen & Toubro Ltd.
L&T currently holds 61.03% stake in Mindtree.