Newgen Software Tech to acquire 100% stake in 'Number Theory Software'

18 Jan 2022 , 03:00 PM

Newgen Software Technologies Ltd has announced that the Board of Directors of the Company today has approved the acquisition of Number Theory Software Private Limited as a wholly owned subsidiary company i.e., purchase of 100% of the paid-up equity shares of Number Theory Software Private Limited from its existing shareholders, viz. Tarun Gulyani and Rajan Nagina.

As per regulatory filing, Newgen will be making a closing payment aggregating to approximately Rs7,02,73,340/- to the Promoters of Target Company towards 100% of the equity shares.

Further, the Founders would receive deferred amount of an aggregate sum of Rs7,02,73,340/- in a staggered manner over a period of three years subject to certain conditions and their continued employment with Number Theory / Newgen.

Further as a part of conditions precedent to the closing of the transaction, Newgen will also grant ICD of approximately Rs2,41,00,000/- to Number Theory to settle its outstanding dues such as dues to debentures holders, option holders, bank loan, directors’ loan etc.

At around 3:00 PM, Newgen Software Technologies was trading at Rs629.45 apiece down by Rs13.95 or 2.17% on the BSE.