Streamlined Corporate Structure to Reduce Costs of Compliance
FREMONT, Calif. and BANGALORE, India, April 9, 2012 (GLOBE NEWSWIRE) --
iGATE Corporation, (iGATE or the Company) announced the results of the
Delisting offer of its subsidiary Patni Computer Systems Ltd (Patni)
from the Indian Stock Exchanges.
Announcing the process as a success, iGATE accepted the discovered
price of Rs.520/- determined through a reverse book building process
using the electronic facility of the BSE, in accordance with the SEBI
The Public Shareholders holding equity shares of the Company were
invited to submit bids via an offer that opened on March 28, 2012 and
closed on March 30, 2012.
Phaneesh Murthy, CEO, iGATE Corporation said, "We believe that the
price of Rs.520/- provides both a reasonable premium to the Patni
public shareholders and is still accretive to iGATE shareholders while
being strategic to the company. In addition, the better performance in
Q4 2011 and the benefits of a streamlined corporate structure enabled
us to arrange for some extra funding during the last week and raise the
debt amount to $265 million."
The remaining shareholders of Patni post the delisting will be able to
offer their shares at the discovered price during the period of one
year from the date of delisting. A separate offer letter in this regard
will be sent to the shareholders who have either not participated in
the offer or whose shares have not been accepted under the offer.
Commenting on the announcement, Sujit Sircar, CFO, iGATE Corporation
said, "With the front-end and shared services successfully integrated,
we are confident that from here on, we will be able to integrate our
delivery operations fully. The successful delisting will also set us up
well for a possible downstream merger while also reducing costs of
Compliance and Governance."
About iGATE Corporation:
iGATE Corporation is the first integrated Technology and Operations
(iTOPS) company providing Business Outcomes based solutions under the
brand name 'iGATE Patni' - the common brand identity of two
organizations -- iGATE and Patni. With iGATE Corporation having
acquired a majority stake in Patni Computer Systems Limited, the two
companies, under the common brand iGATE Patni, provide full-spectrum
consulting, technology and business process outsourcing, and product
engineering services on a Business Outcomes-based model. Armed with
over three decades of IT Services experience and powered by the iTOPS
(Integrated Technology and Operations) platform, iGATE Patni's
multi-location global organization with a talent pool of over 27,000
people, consistently delivers effective solutions to over 360 Fortune
1000 clients spanning across verticals like: banking and financial
services; insurance and healthcare; life sciences; manufacturing,
retail, distribution and logistics; media, entertainment leisure and
travel; communication, energy and utilities; public sector; and
independent software vendors. Visit www.igatepatni.com.
iGATE Corporation is listed on NASDAQ (IGTE), and Patni Computer
Systems Limited is listed on the Bombay Stock Exchange (532517), the
National Stock Exchange of India (PATNI) and the New York Stock
The iGATE Patni brand logo is available at
CONTACT: Media Contact
Prabhanjan Deshpande "PD"
+91 80 4104 5006
+1 510 896 3007