You are here: Home » Companies » News
Business Standard

TCS to acquire 100% shares of Postbank Systems from Deutsche Bank

India's largest IT services firm Tata Consultancy Services (TCS) on Monday said it will acquire 100 per cent shares of Postbank Systems AG (PBS) from Deutsche Bank AG.

Topics
Tata Consultancy Services | Deutsche Bank AG | IT services

Press Trust of India  |  New Delhi 

TCS

India's largest firm (TCS) on Monday said it will acquire 100 per cent shares of Postbank Systems AG (PBS) from

PBS has been the internal IT provider for Postbank AG, a subsidiary of Deutsche Bank, catering for the German retail banking market. PBS has approximately 1,500 employees across nine locations in Germany.

The transaction will see the employees of PBS become a part of the Mumbai-based company.

In a regulatory filing, TCS said "100 per cent of the shares will be acquired by TCS Netherlands BV (a subsidiary of TCS)" and the "estimated transaction value at a symbolic 1 euro".

The transaction is subject to both parties finalising further agreements, which they intend to do by end-2020.

Further, the transaction is subject to customary regulatory and governmental approvals.

The deal will further add to TCS' scale in Germany and strengthen its growth outlook, it said in a statement.

TCS is ranked by analysts as the fastest-growing IT service provider in Germany with a 10-year CAGR of over 24 per cent.

"We are pleased to deepen our long-standing partnership with Deutsche Bank, continue to help accelerate their digital transformation, and to acquire market specific capabilities in the banking domain," TCS Chief Operating Officer and Executive Director N G Subramaniam said.

Present in Germany since 1991, TCS currently works with over 100 leading German corporations.

Headquartered in Bonn, Germany, PBS' services include infrastructure operations, application operations, management and development, as well as business consulting for retail banking. Its revenue in 2019 stood at 530 million euros.

The entity will sell significant assets and pass through contracts to Deutsche Bank, and therefore, the expected revenue in 2021 will be approximately 260 million euros, the filing said.

"As part of our move to one technology organisation, we are consolidating the IT platform for our retail banking brand Postbank into the Deutsche Bank platform," Deutsche Bank Chief Technology, Data and Innovation Officer Bernd Leukert said.

Leukert added that TCS is already a trusted IT service partner for Deutsche Bank, and this strengthens the relationship further.

"We are confident that TCS is the ideal owner for Postbank Systems. With this transaction, we agreed on a structure that meets all parties' interests. It provides clarity to Postbank Systems staff and the opportunity to become part of the success and growth story of TCS," Leukert said.

(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

Dear Reader,


Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

First Published: Mon, November 09 2020. 19:37 IST
RECOMMENDED FOR YOU
.