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TCS Japan, IT Frontier Corporation (ITF), MC’s 100% IT subsidiary and Nippon TCS Solution Center Limited (NTSC), to merge as a single new entity
Tata Consultancy Services Japan Limited (TCS Japan), IT Frontier Corporation (ITF), MC’s 100% IT subsidiary and Nippon TCS Solution Center Limited (NTSC), to merge as a single new entity
The merger will create a strong IT services unit with a base of over 2400 associates in Japan
The entity will have revenues over $600 million per annum
TCS will have 51% equity, MC will have 49% equity
This transaction enables TCS to serve a number of leading Japanese corporations as its strategic customer
The transaction is expected to close by June 2014
Mumbai | Tokyo, April 21, 2014: Tata Consultancy Services (BSE: 532540, NSE: TCS), a leading IT services, consulting and business solutions firm announced today that it has signed definitive agreements with Mitsubishi Corporation (MC), one of Japan’s largest integrated business enterprises to merge TCS Japan, ITF and NTSC. TCS will hold 51% in the merged entity, MC to hold 49%. The merged entities will be operational from July 2014.
Commenting on the transaction, N Chandrasekaran, CEO and Managing Director, TCS, said, “This strategic transaction signifies our serious commitment to the Japan market. TCS will now have the scale, strong local presence and our full range of global capabilities to serve the Japanese corporations effectively and accelerate our growth in the Japan market.
He added: “We deeply value the partnership with Mitsubishi Corporation and look forward to leveraging our mutual strengths in the Japan market.”
The transaction will create a new IT Services company of significant scale in the Japanese market. ITF brings its long standing relationships with Japanese corporations, talented workforce and competencies in industries like retail, distribution and trading. This will complement TCS’ deep domain knowledge, technology expertise and strong execution track record. TCS’ Global Network Delivery Model (GNDMTM) capabilities will also enable the Japanese corporations’ globalization ambitions. The company will provide tremendous additional value to clients in Japan; while employees will secure the advantages of building their careers in a global organization.
About Tata Consultancy Services Ltd. (TCS)
Tata Consultancy Services is an IT services, consulting and business solutions organization that delivers real results to global business, ensuring a level of certainty no other firm can match. TCS offers a consulting-led, integrated portfolio of IT, BPO, infrastructure, engineering and assurance services. This is delivered through its unique Global Network Delivery Model™,recognized as the benchmark of excellence in software development. A part of the Tata group, India’s largest industrial conglomerate, TCS has over 277,000 of the world’s best-trained consultants in 44 countries. The company generated consolidated revenues of US $11.6 billion for year ended March 31, 2013 and is listed on the National Stock Exchange and Bombay Stock Exchange in India. For more information, visit us at www.tcs.com.
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About Mitsubishi Corporation
Mitsubishi Corporation (MC) is a global business enterprise that develops and operates business in wide range of industries. MC has over 200 offices and subsidiaries in approximately 90 countries worldwide and a network of over 600 group companies; MC employs a multinational workforce of over 65,000 people. MC operates business in a range of industries including industrial finance, energy, metals, machinery, chemicals, foods, and environmental business. MC’s current activities are expanding far beyond its traditional trading operations as its diverse business ranges from natural resources development to investment in retail business, infrastructure, financial products and manufacturing of industrial goods. For information, please visit our website: www.mitsubishicorp.com/
Mitsubishi Corporation (MC)
Head Office: 3-1, Marunouchi 2-Chome, Chiyoda-Ku, Tokyo 100-8086, Japan
Date Established: April 1950
Capital: JPY 204 billion
No. of Employees: 65,975 (consolidated, as of March 31, 2013)
Representative: Ken Kobayashi (President and CEO)
TCS Media Contacts
India
Email: h.ramachandra@tcs.com|shamala.p@tcs.com
+ 91 22 6778 9078
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