Syntel Telecom Ltd, the telecommunication subsidiary of Ahmedabad-based apparel maker Arvind Ltd, is set to buy Mumbai-based unified communications provider Enkay Technologies (India) Pvt. Ltd, according to media reports.
Syntel Telecom has signed an agreement to buy Enkay, The Economic Times reported.
Among Enkay’s three business verticals, Syntel Telecom will buy two—unified communications and audio-visual system integration—while integrated security solutions will remain with Enkay, Mint reported.
Enkay, which is a unified communication solutions provider, was founded in 1980. It is promoted by Dayal Hemrajani who is the firm’s chairman and managing director.
In FY2015-16, Enkay made a net profit of Rs 13.3 lakh on a turnover of Rs 61.7 crore.
Syntel Telecom was founded in 1989. Its verticals include business communication solutions, voice communication servers and soft switches, audio/video conferencing and collaboration solutions, according to its website.
In FY2016-17, Syntel Telecom registered a net profit of Rs 1.31 crore on a turnover of Rs 20.68 crore.
Arvind is the flagship company of Ahmedabad-based Lalbhai Group, one of India’s largest textiles and fabrics companies.
Arvind was looking to dilute a 15% stake in its lifestyle brands arm, Arvind Lifestyle Brands Ltd, for Rs 900 crore ($134 million).
Last year, Arvind partnered with Sephora, part of French luxury conglomerate LVMH Moet Hennessy Louis Vuitton, to enter the beauty and cosmetics segment.
Earlier this year, media reports said Arvind was looking to acquire Sequoia Capital-funded fashion and lifestyle portal Freecultr through its online arm Arvind Internet.
Arvind, which counts Multiples PE as an investor, is listed on the bourses and has a market value of about Rs 8,300 crore.