The Mphasis management, backed by PE players like Bain, is preparing bid to buy out HP stake, sources told CNBC-TV18.
HP, which holds 60.4 percent stake in Mphasis, is planning to complete the stake sale by the end of CY14. IT major Tech Mahindra too is said to be in race for HP stake in Mphasis.
Though the stake is valued at Rs 5,400 crore, HP is learnt to have been looking to get at least Rs 6,000 crore, source said, adding the deal is likely to trigger an open offer.
When contacted, both Mphasis and HP declined to comment on the news.
The IT services firm reported a consolidated net profit of Rs 174.79 crore for the quarter ended June 30, 2014. In a filing to BSE, the company said it changed its accounting year end from October to March, effective November 1, 2013.Consequently to this, the figures reported for the corresponding period are for the three months ended 31 July 2013, which is nearest to the reported quarter.
For the three months ended 31 July 2013, Mphasis posted a net profit of Rs.192.64 crore.
The company has appointed V Suryanarayanan as Chief Financial Officer effective August 01, 2014.
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