Tech Mahindra Announces JV With Midad Holding
Tech Mahindra Announces JV With Midad Holding
Tech Mahindra Ltd has announced the signing of a JV agreement with Midad Holding that is a subsidiary of Al Fozan, a preeminent group with diversified business interests in Saudi Arabia. The headquarters of the JV should be in Al Khobar and it is named “Tech Mahindra Arabia”. As per this JV, Tech Mahindra owns around 51% ownership while Midad holds around 49% stake.
The JV will also establish its presence across major cities in Saudi Arabia. It will be functional post the regulatory approvals, according to the company. The JV will combine the strong regional presence of Midad Holding with the global connectivity of Tech Mahindra. The aim is to create a synergic value proposition for consumers in the Kingdom of Saudi Arabia.
The MD and CEO of Tech Mahindra, C. P. Gurnani has indicated that Saudi Arabia is the focus for Tech Mahindra and there is a lot of excitement about the future prospects of the company in this region. The JV will also establish the company as a key player for providing IT and ITeS solutions. This will also provide career growth for the population in this region.
The VP and GEO Head Middle East and North Africa, Tech Mahindra, G.B. Kumar has also discussed how the attempt has been made by the tech major to tap the region's largest economy namely Saudi Arabia. Tech Mahindra Arabia will also bring about exponential growth through the solution of business and technical challenges of consumers from telecom, oil and gas, petrochemicals and utilities. The attempt has also been made to bring about value addition to Saudi customers.
Tech Mahindra's core strengths namely networking, mobility, cloud, security and analytics are of critical importance in bring value to the region's customers. Tech Mahindra closed Wednesday's trading at Rs. 2,103.95 which is down 0.38 percent from the prior close.
Saudi Arabia is a focus market for this company and the JV is an aim to consolidate Tech Mahindra's image and presence in this region. The JV aims to leverage Tech Mahindra's global expertise in IT along with maximising of local content.
Through joint ventures such as these, the complications associated with regional limitations can easily be overcome. Such joint ventures also support the growth of infrastructure and jobs for the regions in which they are formed. The best part is that local companies or regional firms also experience a spurt in growth and business opportunities as a result of this business.
Tech Mahindra has come a long way since its inception. With the market rife for competition, joint ventures like this will go a long way towards furthering its industry prospects. The aim is to bring about a synergy with international companies across different regions for mutual benefits and growth. Its the ultimate win-win situation.
