Deal Closed | 3i Infotech Limited | Selling Software Products business

The details of the deal are as under:

Sector: IT and ITES 

Announcement Date: 28 December 2020 

Completion Date: Subject to the fulfilment of CPs 

Name of Client: 3i Infotech Limited 

Deal Description: 3i Infotech Limited, a global information technology company, has entered into definitive agreements to sell its Software Products business (across India, USA, UK, UAE, Malaysia, Singapore, Thailand, Saudi Arabia and Kenya) to funds advised by Apax Partners, for a total consideration of INR 10 billion (Rs. 1,000 crores). The Software Products business will be acquired by a newly formed company named Azentio Software, wholly owned by the Apax Funds.  

The Software Products business comprises a comprehensive set of core software products for customers in banking, financial services and insurance verticals and includes key products such as Kastle™ (universal banking platform), AMLOCK™ (financial crime detection and compliance software suite), Premia™ Astra (core insurance software), MFund™ Plus (asset management platform) and Orion™ (enterprise resource planning software). 

The transaction is subject to condition precedents (including shareholder’s approval) and is expected to close in early 2021. 

Total Consideration: INR 10 billion (INR 1,000 crores) (USD 136 million) 

Team Members: Core team comprised of Aravind Venugopal (Partner), Niren Patel (Partner), Preethika D. (Senior Associate) and Arshia Saraf (Associate).  

Kumar Saurabh Singh (Partner), Rahul Chakraborti (Principal Associate), Karishma Singh (Associate), Deboshree Mukherjee (Associate) assisted the core team on certain financing aspects. Vinita Krishnan (Partner), Sanket Shah (Principal Associate) and Milind Hasrajani (Associate) assisted the core team on certain direct tax aspects. 

Rashmi Deshpande (Partner), Anjali Krishnan (Senior Associate) and Abhishek Naik (Associate) assisted the core team on certain indirect tax aspects. Nishad Nadkarni (Partner) assisted the core team on certain intellectual property aspects. Arindam Ghosh (Partner), Moin Ladha (Partner) and Anvita Mishra (Senior Associate) assisted the core team on certain regulatory aspects. Anshul Prakash (Partner), Abhimanyu Pal (Senior Associate), and Abhisek Choudhury (Associate) assisted the core team on certain employment aspects. 

Role of Firm: The firm advised the client on Indian legal issues and helped co-ordinate comprehensive legal advice across USA, UK, Kenya, UAE, Malaysia, Singapore, Thailand and Saudi Arabia.  

Other legal advisors if any with names of Lead Lawyers 

AZB and Partners advised Apax on Indian legal aspects of the transaction.  

Kirkland and Ellis acted as Apax’s global counsels for this transaction. 

Unique Feature of Transaction  

The transaction contemplates simultaneous local business transfers across 9 jurisdictions and required us to coordinate with legal advisors in these jurisdictions to provide comprehensive legal advice to the client.