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Tech Mahindra recently made headlines for its largest overseas acquisition. India’s fifth-largest IT services company is set to acquire Virginia; a US based Lightbridge Communications Corporation (LCC) for $240 million, which is close to 1400 crore rupees.
Tech Mahindra IMS Academy at Chandigarh University

Founded in 1983, LCC is one of the leading providers of network engineering services to the telecommunication industry. With over $400 million in annual revenues and over 5700 employees in 50 countries, the company provides technical services in areas that include LTE, Wimax, Edge, and CDMA for the largest wireless operators in North and South America, Europe, Middle East, Africa, and Asia. LCC has a strong customer base in AT&T, Clearwire, LightSquared, Sprint, and Verizon.

With acquisitions amounting to seven, this move by Tech Mahindra is the biggest in financial terms. Earlier, it acquired Satyam Computer for $605 million in 2009, and eventually merged it with itself last year. Tech Mahindra currently enjoys the service of over 95,000 employees and the employee mark is set to cross 1 lakh with this new merger.

Tech Mahindra clocked the $900 million dollar mark earlier this year in its September quarter, and is running with an objective of achieving $1 billion in the next quarter following this humungous acquisition. Tech Mahindra aims to achieve revenue of $5 billion by the end of 2106 fiscal. Quoting Shashi Bhusan, analyst at brokerage firm Prabhudas Lilladher, “"We see this acquisition as a positive as Tech Mahindra continues to strengthen its forte (of telecom).”

Sarabjit Kour Nangra, VP (research - IT), Angel Broking, said that given Tech Mahindra's success in turning around Satyam, it should be able to do the same with this acquisition and would get close to 20% levels.

The acquisition is going to help Tech Mahindra address a rapidly growing market opportunity as telecom companies and enterprises are set to accelerate their network upgrades in a dynamic telecommunications technology landscape.

Quoting the executive vice-chairman of the company,

"This partnership is another significant step towards the globalization of Tech Mahindra as we welcome a diverse workforce of over 5,000 network professionals across five continents and more than 50 countries. We expect network services to be a major growth engine for our organization.”

Optimistic about the move, CEO of Tech Mahindra, CP Gurnami was quoted saying that the company would now be the largest and most comprehensive provider of technology services to communications service providers in the world. 

"Over three decades, LCC has grown to become the largest independent provider of wireless engineering services. Bringing LCC into Tech Mahindra will create the industry's largest network engineering, deployment, and managed services organization," said Kenneth Young, CEO of LCC.

Chandigarh University is proud to have established collaboration with Tech Mahindra. North India's First Tech Mahindra Lab - IMS Academy for IT Infrastructure Management Services Training has been established at Chandigarh University. The alliance has contributed to the learning process of young curious minds and gives the technical infrastructure of the university an edge. The alliance also promises employment opportunities for young graduates in various engineering fields.

Chandigarh University and Tech Mahindra share an alliance that sprouts knowledge and wisdom and are striving hard for the benefit of local and global communities.

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