Norwegian IT major EDB ErgoGroup ASA has decided to exercise its call option and acquire the remaining 49.9 per cent stake in Bangalore-based SPAN Infotech India Pvt Ltd for $11 million (Rs 49.5 crore), according to the company statement. In October 2007, EDB had acquired 50.1 per cent stake in SPAN for an estimated Rs 15.2 crore.
Payments will be made no later than February 29, 2012, and the deal will make SPAN a 100 per cent-owned entity of the Oslo stock exchange-listed firm.
SPAN Infotech was co-founded by G L Pradeep, Prakash Grama, Pramod Grama and Naganand Doraswamy in 1993, and has around 550 employees working in its three offices in Bangalore. The company primarily focuses on insurance, supply chain management, communications and travel software.
EDB Ergo Group was formed with the merger of two leading IT companies – EDB Business Partner and ErgoGroup. Currently, EDB ErgoGroup is one of the major Nordic IT companies, with some 10,000 employees in 135 offices across 16 countries and an annual turnover approaching NOK 13 billion or $2.4 billion. The company operates from its headquarters in Oslo and has major operations in Norwegian and Swedish markets.
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