HAPPIEST MINDS TECHNO LTD

Happiest Minds Technologies Limited (HAPPSTMNDS) announced a proposed merger with ITC Infotech during an earnings call on September 1, 2026. The merger involves Happiest Minds shareholders receiving 25 shares of ITC Infotech for every 81 shares held, with ITC Limited acquiring 73.4% of the combined entity. Mr. Soota, the promoter, will divest 22.1% of his 44.2% stake in two tranches, totaling INR1,330 crores. Management projects the combined entity to achieve INR7,033 crores in FY26 revenue, ranking as the 11th largest IT services company in India. The merger aims to create a broader end-to-end IT services platform, leveraging complementary strengths in AI, digital engineering, and enterprise transformation. Management emphasized strategic alignment, cultural compatibility, and opportunities for cross-selling and operational synergies. Management expects the merger to be completed within 15 months, with listing on BSE and NSE anticipated in Q2/Q3 FY28. Management projects the combined entity's operating margin to reach 18.3% plus, with margin expansion through scale and efficiency gains. The transaction remains subject to regulatory approvals and shareholder votes.

The document emphasizes strategic alignment, growth opportunities, and operational synergies from the merger, reflecting a positive outlook.