Born Group, Inc., a step-down subsidiary of Tech Mahindra Ltd (TML), will merge with Tech Mahindra (Americas) Inc., a subsidiary of TML, with the appointed date of the merger plan being April 1, 2024.
The plan of merger of Born Group, Inc. (BORN) with parent Tech Mahindra (Americas) Inc. (TMA) was approved at their respective board meetings held on March 22, TML said in a regulatory filing.
- Also read: TechM Q3 profit declines 61 per cent
“The business of both (US-based) entities, BORN (transferor) and TMA (transferee), are complimentary hence consolidation will result in synergy of business operations, optimise operational costs and reduce compliance risk,” according to the filing.
BORN specialises in providing brand strategy, visual design and brand identity exploration for digital products, mobile apps, and physical products in the US.
TMA provides computer consulting, programming support services and IT management and consulting services.
“Both the transferor and transferee companies are wholly-owned subsidiaries and, hence, there will be no cash consideration or issue of new shares involved under the plan of merger. The investment of TMA in BORN will get cancelled on the merger becoming effective.
“The merger is subject to regulatory approvals in the country of incorporation. The appointed date of the plan of merger is April 1, 2024,” TML said.