Mumbai: Sonata Software is acquiring a 50.1-per cent stake in European infotech company TUI InfoTec, headquartered in Hanover, Germany, from its parent company, TUI AG, Europe`s leading tourism and shipping group.
For this, Sonata has entered into an agreement with TUI AG for an all-cash deal worth €18 million. TUI AG would hold the balance 49.9 per cent stake in TUI InfoTec.
The IT company is the offshore services provider for TUI AG. TUI InfoTec provides IT infrastructure management services and IT software services to the European market and will remain the preferred IT supplier to the TUI group.
With the acquisition, Sonata will be strategically positioned in the European market.
The deal includes TUI InfoTech's subsidiaries, Travel BA.sys and ACCON RVS, which provide a technology platform and back-office services for travel agencies, respectively.
Heinz Kreuzer, group CIO of TUI and managing director of TUI InfoTec, said 44 per cent of the company''s revenues in 2005 were contributed by software services and 56 per cent by IT infrastructure management.
TUI InfoTec had revenues of €130 million and 432 employees, top executives of the two companies told reporters in Bangalore.
Sonata employs around 1,700 and has four development centres in India. Europe contributes 55 per cent of revenues for company.
With revenues of around €20 billion (Rs120,000 crore), TUI AG, is listed on the Frankfurt Stock Exchange and is among the companies that constitute the German stock market index DAX, along with other companies like Adidas, BASF, Bayer, BMW, Deutsche Bank, Siemens, DaimlerChrysler and Volkswagen.
The deal is subject to clearance from the German ''anti-trust'' authorities, expected to happen in three or four weeks, Sonata Software President and Managing Director B Ramaswamy said.