In 1986, Mahindra & Mahindra started a 60:40 joint venture technology services outsourcing firm with British Telecom named Mahindra British Telecom (MBT). In 2000, British Telecom committed business of at least £105 million over three years; as a consideration, British Telecom's stake in MBT increased to 43%.[6] MBT primarily served the telecommunications industry in its early years, with British Telecom as its largest client.[7]
In 2006, MBT was renamed as Tech Mahindra,[8] and it became a public company via an initial public offering.[9] In December 2010, British Telecom sold 5.5% of its stake in Tech Mahindra to Mahindra & Mahindra for ₹451 crore.[10] In August 2012, British Telecom sold 14.1% of its stake to institutional investors for about ₹1,395 crore. In December 2012, British Telecom sold its remaining 9.1% stake to institutional investors for ₹1,011.4 crore. This sale marked the exit of British Telecom from Tech Mahindra.[11]
Acquisition and merger of Satyam
After the Satyam scandal of 2008–09, Tech Mahindra emerged as the top bidder for a 31% stake in Satyam Computer Services, beating a bid from Larsen & Toubro.[12] After evaluating the bids, the government-appointed board of Satyam Computer announced on April 13, 2009 that it had selected Venturbay Consultants Private Limited, a subsidiary of Tech Mahindra, as the highest bidder to acquire a controlling stake in the company.[13] After the completion of the acquisition, Satyam Computer Services was renamed Mahindra Satyam in June 2009.[14]
Tech Mahindra announced its merger with Mahindra Satyam on 21 March 2012, after getting approval of the two company boards.[15][16] The new organization would be led by Anand Mahindra as Chairman, Vineet Nayyar as Vice Chairman, and C. P. Gurnani as the CEO and Managing Director.[17][18][19] On 25 June 2013, Tech Mahindra announced the completion of its merger with Mahindra Satyam to create India's fifth largest software services company with a turnover of $2.7 billion.[20][21] Mahindra Satyam was suspended from trading with effect from 4 July 2013, following the merger.[22] After the completion of share swap,[23] the stock exchanges approved the trading of new shares from 12 July 2013.[24][25]
Later years
In 2014, Tech Mahindra acquired Lightbridge Communications Corporation (LCC), a telecom services company. In 2015, Tech Mahindra acquired SOFGEN Holdings, a Swiss IT firm in the financial services industry.[26] Tech Mahindra purchased a controlling stake in Pininfarina S.p.A., an Italian automotive and industrial design company.[27] Tech Mahindra announced the launch of its Automation Framework AQT (Automation, Quality, Time).[28] By March 2016, Tech Mahindra's post-tax earnings had surpassed that of M&M.[29]
In September 2019, Tech Mahindra acquired BORN Group, a New York City–based digital content and production agency, for $95 million in an all-cash deal.[30] The company was ranked #5 in India's IT firms and overall No. 47 on Fortune India 500 list for 2019.[31]
In March 2021, Tech Mahindra partnered with US-based business intelligence analytics company ThoughtSpot.[32]
In October 2022 Tech Mahindra acquired 26% equity shares in Upendra Singh Multi Transmission Private Limited, allowing the company to procure 1.5 MW of solar energy for its facilities in Noida.[33]
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