Tech Mahindra to acquire Fidelity’s fintech subsidiary
IT services major Tech Mahindra announced a professional services agreement with Fidelity National Information Services Inc (FIS) to acquire its subsidiary Payments Technology Services Ltd (PTSL) for Rs 66 crore.
Payments Technology Services is an Asia-based payments solutions provider focused on the banking and financial services industries.
Tech Mahindra will receive intellectual property and licences for two systems—Open Payment Framework (OPF) and Multi-Bank System (MBS).
Vivek Agarwal, Head Corporate Development and Global Head for Financial Services and Healthcare, Tech Mahindra, said that Banking Financial Services and Insurance (BFSI) was one of the fastest-growing industry segments for Tech Mahindra and the company has a strong presence across key regions including Europe, Asia Pacific and North America. The move is aligned to the company's "TechMNxt" character, aimed at strengthening global payments capabilities, offering clients end-to-end payments transformation services, and expanding this expertise to core banking and digital segments.
Lakshmanan Chidambaram, President, America Strategic Verticals, Tech Mahindra, claimed that the agreement would add to the company's capabilities in the space and enable it to develop and deliver next-generation solutions to customers.