ITC Infotech Leads Race for Majority Stake in Happiest Minds: Report

ITC Infotech is in talks to acquire a majority stake in the mid-tier IT services firm Happiest Minds Technologies, according to a Moneycontrol report citing sources.

The contours of the deal, including the size of the stake, valuation and transaction structure, are still being finalised, the report said. 

However, in a statement to the stock exchange, the company neither confirmed nor denied the report. 

“As a general matter, the company, as part of its business strategy, keeps exploring various strategic opportunities that are intended to be in the best interest of its stakeholders,” Happiest Minds said.

If the transaction materialises, it would add to a growing wave of consolidation in the IT services sector, as companies pursue acquisitions to build scale and strengthen capabilities in areas such as artificial intelligence amid slower discretionary technology spending by enterprise customers.

Last month, mid-tier IT firm Persistent Systems announced the acquisition of German digital engineering company Nagarro for about $1.3 billion. Earlier, Coforge acquired US-based digital engineering firm Encora for $2.35 billion.

ITC Infotech, meanwhile, acquired cloud services company Blazeclan Technologies for up to ₹485 crore in October 2024.

For the financial year ended March 2026, Happiest Minds reported revenue of ₹2,315 crore, up 12.3% year-on-year. Digital Infrastructure and Cloud accounted for 53.2% of revenue, followed by Software-as-a-Service at 21% and AI & Analytics at 11.1%, indicating the company's strength in high-growth digital services.

Founded in 2011 by Ashok Soota, Happiest Minds focuses on digital transformation, cloud, artificial intelligence and cybersecurity services. 

According to its March 2026 shareholding pattern sourced from BSE, Soota held a 32.3% stake, making him the company's largest shareholder.