TCS acquires two subsidiaries for ₹1,625 Crore

10 Jan 2025 , 03:28 PM

Tata Consultancy Services (TCS) will buy TRIL Bengaluru Real Estate Five Limited and TRIL Bengaluru Real Estate Six Limited, both wholly owned subsidiaries of Tata Realty and Infrastructure Limited, for ₹1,625 Crore.

The acquisition, which includes optionally redeemable convertible debentures and 100% equity shares, will help TCS expand its delivery centres. The entities, established in FY24, own land for future development. 

The acquisition, executed on an arm’s-length basis, does not require further official clearances and is scheduled to close within a year, the business said.

On Thursday, India’s largest IT services provider released its third-quarter earnings. The company reported a revenue of ₹63,973 Crore for the December quarter, a 0.4% decrease from the previous quarter and below market estimates.

The company declared a combined net profit of ₹12,380 Crore for the quarter ending December 31, 2024, up 12% from ₹11,058 Crore in the previous year, just topping predictions.

In US currency terms, revenue fell by 1.7%. However, net profit increased by 4% to ₹12,380 Crore, above expectations.

At around 2.44 PM, TCS was trading 5.80% higher at ₹4,273.25 per share, against the previous close of ₹4,038.85 on NSE. The counter touched an intraday high and low of ₹4,297, and ₹4,170, respectively.

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