Allsec Technologies Limited to merge into Quess Corp Limited
  • All stock deal, with minority shareholders of Allsec (other than Quess) to be issued equity shares of Quess in the ratio of 0.74:1 (i.e. Public shareholders of Allsec will receive 74 shares of Quess for every 100 shares held in Allsec). The deal will be tax neutral for Quess and Allsec
  • Simplification of corporate structure
  • Ability to leverage a larger integrated digital platform of Allsec and Conneqt
  • Merger offers compelling sales and operational efficiencies, with potential to translate into better growth and improved profitability

The Board of Directors of Allsec Technologies and Quess Corp in their respective meetings held on June 22nd, 2022 have approved the Scheme of Amalgamation which inter alia provides for the merger of Allsec into Quess (Scheme).

The merger is subject to the approval of the respective shareholders and creditors of Quess and Allsec, Stock Exchanges, SEBI, the National Company Law Tribunal and other regulatory authorities as may be required. Till the Scheme becomes effective, Quess and Allsec will continue to function independently.

Digital Business Services

Quess is a leading business service provider in India, driving productivity for clients with technology and possesses deep expertise in its 3 synergistic platforms which are Workforce Management, Global Technology Solutions and Operating Asset Management. Allsec, with more than 400+ clients across 37 countries, is a global leader in outsourcing solutions. It has deep expertise in providing Digital Business Services and Human Resource Outsourcing services.

Upon the Scheme becoming effective, all the subsidiaries of Allsec will become subsidiaries of Quess.

The Combined Entity (post-merger) will mean a larger organization with expanded offerings available to take to the market. The combination would allow to attract and retain talent given additional opportunities opening up in the Combined Entity. Further, it will reduce statutory compliance requirements.

Synergies will help strengthen Digital Business Services offerings

The Combined Entity, due to its strong balance sheet, would be able to participate in large customer RFPs. The Combined Entity would leverage the existing domestic CLM capabilities of Quess and expand its service offerings in the International Market. Further, it would assist the Combined Entity to scale up faster and grow exponentially in Tier 2 cities using Quess infrastructure.

Human Resource Outsourcing Services (HRO) to become more robust

The Combined Entity would be able to cross-sell better with integrated offerings single entity approaching the market eliminating layers. Further, the target customer contacts for HRO business & Quess staffing would be common (HR vertical). Allsec’s HRO and Compliance business along with Quess services would form a formidable outsourcing suite for large organizations. The Combined Entity would have increased geographical penetration given Quess’ strong presence in the Middle East and South Asia.