Information technology company Tech Mahindra Ltd. today announced it will acquire 17.5 percent stake in U.S.-based telecom software development company Altiostar Networks for $15 million in an all-cash deal.
The investment committee of the board of directors of Tech Mahindra “has approved the proposal to acquire shareholding in Altiostar Networks Inc, USA, through its wholly owned subsidiary, that is, Tech Mahindra (Americas) Inc, USA,” the company said in an exchange filing.
Altiostar Networks is a U.S. corporation with presence across six countries in Europe, Asia Pacific and Latin American regions.
"This is a portfolio investment from Tech Mahindra Ltd (TML) in the nascent but promising and fast-growing virtualised Radio Access Networks space. TML through its wholly owned subsidiary Tech Mahindra (Americas) Inc is investing an amount of $15 million in return for a 17.5 percent shareholding in Altiostar on a fully diluted basis," it added.
The investment will be completed by Jan. 19, 2018.
Altiostar, was founded in 2011 and has close to 220 employees. The company has presence in the U.K., Germany, India, Mexico, Argentina and Israel.
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