The Company’s Wholly Owned First Level Step-down Subsidiary i.e. Mastek Inc. has informed that it has, at its meeting held on July 18, 2022, approved to sign the definitive agreement to acquire the 100% Membership Interest of Metasoftech Solutions LLC (“MST USA”). The transaction will be completed, subject to satisfactory fulfillment and accomplishment of certain conditions precedent, completion of customary agreements, corporate and regulatory approvals under applicable laws.
Metasoftech Solutions LLC (MST USA) – is based in Chandler, AZ, USA, and is an independent Salesforce consulting partner in the American Southwest region. MST USA is a trusted partner to a number of Fortune 1000 and large enterprise clients. MST USA has built a strong reputation for itself, especially in the Healthcare, Public Sector, and Manufacturing Industry verticals. The entire business is to be acquired by Wholly Owned First Level Step-down Subsidiary Mastek Inc.
MST USA has an aggregate workforce of 320+ employees which includes on-shore employees and off-shore employees of 100% subsidiary based out of India.
The terms of the agreement involve a 100% acquisition, subject to customary closing adjustments as per the terms of the Membership Interest Purchase Agreement. The Membership Interest is to be bought for an upfront consideration of USD 76.6 million. Earnout – between USD 0 to USD 35 million, subject to achieving targets. Since it is a 100% acquisition, there are no affirmative rights or board seats, or any special rights for the Sellers.
For the Last 12 Months ended June 30, 2022, the turnover of the Company was USD 29.4 million (Estimated) and for the Financial Year ended December 31, 2021, the turnover revenue of the Company was USD 24.6 million.
Mastek’s Business Outcomes and Industry First DNA paired with MST USA’s Salesforce-led innovation capabilities will strengthen the value that the company will deliver to their customers and help them in their journey to Decomplex Digital. This acquisition is expected to significantly increase Mastek Inc. market share in existing accounts across industries in the Americas and provide a foundation to scale Digital Transformation business globally.