iGate briefing called off

In a sudden turn of events, Nasdaq-listed iGate and PE partner Apax called off a press conference scheduled for Monday that was expected to announce a strategic deal with Patni Computers. The last-minute hiccup gave rise to speculation that the deal has once again run into rough weather.

iGate and Apax have been in talks to acquire over 60 per cent stake in the Mumbai-based IT services firm. Founder-promoter Narendra Patni with brothers Ashok and Gajendra hold 46 per cent, while PE player General Atlantic has 17 per cent stake in the firm. The deal was seen as worth close to $1 billion. When contacted, iGate CEO Phaneesh Murthy said: “I do not have anything to say. I can only talk in detail once our quarterly numbers are announced later in the month.” However, a company spokesperson said it would respond to media queries by Monday afternoon.

Meanwhile, sources said the Patni board meet on Monday to evaluate the deal is still on. “There has been no news of its cancellation,” said a source.