<article>Product engineering solutions firm AXISCADES on Monday announced it is acquiring Bengaluru-based specialised embedded technology company Mistral Solutions for Rs 175 crore ($27 million).
The acquisition, which will be  to be completed in a phased manner, will add significantly to AXISCADES’ embedded practice, the company said in a statement.</article>

Product engineering solutions firm AXISCADES on Monday announced it is acquiring Bengaluru-based specialised embedded technology company Mistral Solutions for Rs 175 crore ($27 million).
The acquisition, which will be  to be completed in a phased manner, will add significantly to AXISCADES’ embedded practice, the company said in a statement.
AXISCADES said, in the first phase, it will acquire about 43.38 per cent from existing equity shareholders of Mistral Solutions &#8220;including but not limited to Explore India Leisure and Hospitality (shareholder company)&#8221;.
&#8220;Total consideration for acquisition under Phase I is Rs 70.13 crore,&#8221; it added. In the second phase, AXISCADES would acquire 44.62 per cent. It will have the right to acquire the balance minority stake in Phase III from Mistral&#8217;s shareholders by the end of the fifth year.
Subject to regulatory compliances, the transaction is likely to conclude within 45 days.
The company further said that &#8220;shareholder of AXISCADES&#8221; have proposed to advance a debt to the shareholder company of Mistral Solutions to facilitate the promoter shareholders of Mistral to acquire equity shares from third party shareholders in Phase I.
Under the terms of the deal, the current founders of Mistral &#8211; Anees Ahmed and Rajeev Ramachandra &#8211; and its management team will continue to run the operations.
&#8220;This acquisition of Mistral helps us to be a significant player in the Defence Offset and digital technologies. The synergy between AXISCADES and Mistral offers both the parties, impetus to create IP’s, broadening service offerings leading to substantial business growth. This acquisition is EPS accretive,&#8221; Sudhakar Gande, Vice Chairman, AXISCADES.
Founded in 1997, Mistral specialises in end to end embedded solutions and product engineering catering to aerospace, defence, industrial, consumer, wearable, medical and semiconductor verticals.
“For us, this is a strategic partnership between the two companies. We have very complementary capabilities and customers that we can cross leverage. Being part of an established entity like AXISCADES, gives us the capability to address large business opportunities in India and with global OEM’s and take advantage of the government’s Make-in-India initiative.” said Anees Ahmed, Co-Founder and President of Mistral.
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India: Tech firm AXISCADES acquires Mistral Solutions for $27m

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