Mastek’s vice chairman and managing director Ashank Desai, on Monday said that the company's board has approved raising around Rs 59 crore via private placement at Rs 1,851 per share. Desai said its part of the Evosys acquisition which the company did two years ago.

“As a part of that acquisition, we were supposed to get 70 percent equity in the beginning, and the remaining 30 percent was to get in 10 percent every year. This is the second year of that 30 percent, getting the shares. So we issued fresh shares," said Desai.

"When we pay for 10 percent, we pay some in cash, and some in Mastek stock. So this second tranche of three tranches of getting a 10 percent stake in Evosys, we will do some cash and some stock of Mastek. Therefore, all that we have done is to make that happen,” Desai added.

Talking about business, he said, “Repurposing of budgets is leading to delay in the decision-making. Therefore, as we see it, we do not see any impact on the budgets as such, but we do see a delay in decision-making.”

Also Read: Mastek eyes 4-fold growth, aims for $1-bn revenue by 2026

Mastek is a digital engineering and cloud transformation company. It has been delivering cloud-based applications to over 1,300 customers across the globe.

The company is confident that it will continue to grow in the UK going forward. It also added 20 new clients in the second quarter of financial year 2023.

Also Read: Mastek to implement Oracle Cloud Solutions for UK's Alternative Parcels Company

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