Indian IT company Tech Mahindra Ltd (TML) on Thursday announced that it has acquired a 17.5 per cent stake in the U.S.-based telecom software development company Altiostar Networks for a cash consideration of $15 million.
TML routed the investment through its wholly owned subsidiary Tech Mahindra (Americas) Inc, it said in a BSE filing.
“This is a portfolio investment from Tech Mahindra Ltd (TML) in the nascent but promising and fast-growing virtualised Radio Access Networks space,” TML said in the filing.
The investment in the US company will be completed by January 19, 2018.
Founded in 2011 by Ashraf Dahod and headquartered in Tewksbury, Altiostar is a provider of virtualised radio access networks solution for LTE technology. Outside the US, it has a presence in UK, Germany, India, Mexico, Argentina, and Israel. The company employs close to 220 people.
Less than a year ago, TML, a provider of digital transformation, consulting and business reengineering services, had acquired another US firm CJS Solutions Group LLC, a healthcare IT consulting company, for $110 million. In March 2016, it had acquired UK-based Target Group, a provider of business process outsourcing and software solutions, for $164 million.
Part of the Mahindra Group, Tech Mahindra is a $4.6 billion company with over 117,000 employees across 90 countries.