Indian IT Giant TCS attains 'Darshita Southern India Happy Homes' for Rs. 2, 250 crore

IT giant Tata Consultancy Services announced that it had reached an all-cash agreement to pay Rs. 2250 crore to buy a 100% ownership investment in Bengaluru-based commercial real estate company Darshita Southern India Happy Homes Pvt Ltd.

According to the regulatory filing, the agreement entails the purchase of land and a building owned by Darshita Southern India Happy Homes in order to use them as a delivery center for TCS.

According to the filing, after two years, there will be a call option to purchase all of the entity's equity shares.

Founded in September 2004, Darshita Southern India Happy Homes is a company that develops commercial real estate. The entity has not made any money in the last three years because the property is still being developed. TCS will hold a call option to finalize the deal after two years, and the acquisition will be carried out in cash.

TCS reported $7,539 million in revenue in US dollars, which is little less than the $7,626 million predicted by the CNBC-TV18 poll. TCS's US dollar sales dropped 1.7% on a sequential basis, compared to a 0.6% decline predicted by a CNBC-TV18 survey.

Due to furloughs and a smaller contribution from the BSNL transaction, TCS's growth was flat sequentially in constant currency terms, which is lower than it was in the June quarter and the same period last year. According to a CNBC-TV18 poll, the growth was expected to be 0.2% in constant currency terms.

Shares of TCS ended at Rs. 3,574.90, down by Rs. 13.20, or 0.37%, on the BSE.