Helios & Matheson to buy vMoksha for $19mn

Helios & Matheson Information Technology has signed an agreement to acquire 100% of vMoksha for $19 million.

According to a release issued by Helios & Matheson to the BSE today, the transaction will be completed by next month.

"vMoksha has 510 employees, and global presence with offices in USA, Europe, Singapore and India," the release added.

vMoksha was founded by Pawan Kumar, former president of IBM Global Services in India. Pawan Kumar has agreed to continue as CEO post acquisition.

"The merger with Helios & Matheson is a perfect fit with our business strategy and our competencies," Pawan Kumar, CEO of vMoksha, said. "Size is critical for IT services companies, and we can now rapidly expand our client base and access bigger opportunities - resulting in a win-win situation for all stakeholders."

The deal includes earn-out for achieving targeted financial milestones over a two-year period. Helios will acquire 3 vMoksha entities - vMoksha Technologies Inc, USA, vMoksha Technologies Pte, Singapore and vMoksha Technologies, Bangalore.

G K Muralikrishna, managing director of Helios & Matheson, said: "vMoksha has deep client relationships with European majors. Europe is a very important market for us, and this transaction reaffirms our commitment to this market by significantly enhancing our local presence."