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ITC Infotech has emerged as the frontrunner to acquire a majority stake in IT services firm Happiest Minds Technologies

ICICIdirect Research 14 Jul 2026 DISCLAIMER

News: According to media report, ITC Infotech has emerged as the frontrunner to acquire a majority stake in IT services firm Happiest Minds Technologies. Happiest Minds founder and executive chairman Ashok Soota currently holds over 32% in the company (and ~44% percent through other promoter holdings). At current market price of Rs406 per share, promoters stake is valued at Rs2,720cr (market cap of Rs6,183.1cr). ITC Infotech, a wholly subsidiary of ITC Limited, is strengthening its position as a strategic technology partner by advancing AI-led engineering capabilities and driving next-generation enterprise transformation. The company achieved consolidated revenues of Rs4,856cr (growth of 14% YoY) and EBIDTA margins of 18.5% in FY26. Happiest Minds in its notification to exchanges has mentioned that the Company as part of its business strategy keeps exploring various strategic opportunities that are intended to be in the best interest of its stakeholders.

View: ITC Infotech management is aspiring revenues of Rs10,000cr over the next two to three years through organic and inorganic initiatives. The company established new engineering hubs in Riyadh (Middle East markets) and Melbourne (APAC market), and extended its footprint within India with new centres in Hyderabad, Pune and Mumbai. With AI-led services being central to this expansion, the company also set up Global AI Labs in Bengaluru, Kolkata and Pune. ITC Infotech weightage in the current SoTP valuation of ITC is very less. However, ITC would focus on investing in scaling up the business of ITC Infotech and will look appropriate strategic option to create value for existing shareholders of ITC in the medium to long run.

Impact: Neutral

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