ITC Limited Expands IT Services Portfolio by Acquiring Blazeclan Technologies

ITC Limited has announced the successful acquisition of Blazeclan Technologies Private Limited (Blazeclan), a leading provider in the cloud services sector, through its wholly-owned subsidiary, ITC Infotech India Limited (I3L). 

This acquisition, finalised on October 1, 2024, entails the acquisition of 100% of Blazeclan’s share capital, marking a significant step in ITC’s strategic expansion into the Information Technology and Information Technology Enabled Services (IT/ITES) industry.

Blazeclan, recognised as a Niche Player in the 2023 Gartner® Magic Quadrant for Public Cloud IT Transformation Services, specialises in offering comprehensive cloud solutions on platforms such as AWS, Azure, and Google Cloud Platform (GCP). The company has garnered a reputation for its expertise in cloud migration, digital services, consulting, and data analytics, making it a valuable addition to ITC Infotech’s portfolio.

With this acquisition, Blazeclan and its subsidiaries, which include entities in several countries such as Cloudlytics Technologies Private Limited in India, Blazeclan Technologies PTE Ltd. in Singapore, Blazeclan Technologies SDN. BHD. in Malaysia, and Blazeclan Technologies LLC in the USA, have become step-down wholly owned subsidiaries of ITC Limited. This global presence enhances ITC Infotech’s capabilities to serve clients in a multi-cloud and hybrid cloud environment, aligning with the company’s goal to support customers in their digital transformation journeys.

The total consideration for this acquisition is up to ₹485 crore, which includes contingent consideration based on the achievement of performance targets as outlined in the Share Purchase Agreement. This strategic investment underscores ITC Infotech’s commitment to expanding its cloud capabilities and solidifying its position in the rapidly evolving technology landscape.

ITC’s acquisition of Blazeclan is poised to strengthen its capacity to navigate the complexities of digital transformation, leveraging Blazeclan’s established partnerships as an AWS Premier Partner and Snowflake Elite Partner. As businesses increasingly migrate to cloud-based solutions, this acquisition positions ITC Infotech to meet the growing demand for cloud transformation services, enhancing operational efficiency and driving innovation across industries.

On October 3, 2024, the share price of ITC Ltd opened at ₹508.55, touching the day’s high at ₹515.70, as of 10:09 AM on the NSE.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.