iGATE Corporation Accepts Patni Delisting Offer of Rs. 520/-
Streamlined Corporate Structure to Reduce Costs of Compliance and Governance
Fremont, CA and Bangalore, India: April 9th 2012 — 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 Regulations.
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' - 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, 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’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 Exchange (PTI).