ITC Infotech Leads Race for Happiest Minds' Majority Stake Sale

ITC Infotech has emerged as the frontrunner to acquire a majority stake in Happiest Minds Technologies, according to a report by Moneycontrol. The report said discussions are ongoing, with the size of the stake, valuation and transaction structure yet to be finalised.

If completed, the acquisition would mark ITC Infotech's biggest acquisition so far and strengthen its presence in digital engineering, artificial intelligence (AI), cloud, cybersecurity and digital transformation services.

Founder Stake at Centre of Deal

Moneycontrol had reported in January that Happiest Minds founder and Executive Chairman Ashok Soota was exploring the sale of his stake in the company.

Soota currently holds more than 32% stake in Happiest Minds directly and over 40% through other promoter holdings. Ashok Soota Medical Research LLP holds around 11.8% stake in the Bengaluru-based IT services firm.

At the company's current market price of around ₹403 per share, Soota's stake is valued at roughly ₹2,600 crore. Any transaction is expected to begin with the acquisition of the promoter stake, following which the buyer would have to make a mandatory open offer to public shareholders under SEBI's takeover regulations.

How ITC Infotech Stands to Gain

The potential acquisition would help ITC Infotech expand its capabilities across high-growth technology areas, including AI, cloud computing, cybersecurity and digital engineering.

The deal would also add Happiest Minds' expertise in digital transformation services and expand ITC Infotech's global customer base. Founded in 2011 by Ashok Soota, Happiest Minds has built a presence across digital business solutions, product engineering, cloud services and cybersecurity.

The proposed transaction would mark a change in control for Happiest Minds after more than a decade as an independent company. The firm has established itself as a digital-first technology services provider serving enterprise customers across multiple sectors.

ITC Infotech has also been strengthening its capabilities through acquisitions. In October 2024, the company completed the acquisition of cloud services firm Blazeclan Technologies for up to ₹485 crore.

The potential Happiest Minds deal would further add scale to ITC Infotech's technology services portfolio as companies increasingly focus on expanding AI-led capabilities and digital transformation offerings.