Virtusa Corporation buys out TradeTech Consulting shares for $20 million

Written by fe Bureau | Chennai | Updated: Jan 14 2014, 19:05pm hrs
Nasdaq-listed Virtusa Corporation, a global IT services company with a major operation in India, announced it has acquired all the outstanding shares of TradeTech Consulting Scandinavia AB and its subsidiaries based in Stockholm, Sweden.

As per the terms of the share purchase agreement, Virtusa will pay approximately $20 million in cash for acquiring the shares, and approximately $4 million in earn-out consideration upon TradeTech's achieving certain revenue and profit milestones in 2014.

Virtusa has agreed to issue up to $2 million in deferred restricted stock awards from its stock option and incentive plan, not to exceed 65,000 shares, to certain of these new Virtusa employees.

The acquisition lifts Virtusas position in the banking and insurance industries by raising asset management and treasury services domain.