Infosys Ltd on Thursday said that it will be buying a 75 percent stake in ABN AMRO Group NV's mortgage administration services unit for 127.5 million euros ($143.53 million).
Infosys Consulting Pvt Ltd will acquire a controlling stake in Stater N.V., a mortgage services company that operates in the Netherlands and Belgium. The transaction is expected to close in the first quarter of the financial year 2019-20.
The acquisition is in line with Infosys' strategy to its strength in the mortgage servicing business in Continental Europe, the company said in a statement.
"This partnership (with ABN AMRO) strengthens Infosys' position as a leading technology and business process management provider across the mortgage services value chain, improving the experience and operational efficiencies, and further enhances the company's strategy to help clients navigate their next digital transformation journeys,' it said.
The parent company ABN AMRO will continue to hold the remaining 25% stake in Stater. ABN AMRO, the third largest bank in the Netherlands headquartered in Amsterdam.
Shares of Infosys Ltd rose as much 2 percent to an intraday high of Rs 745 apiece on NSE. Nifty IT Index gained as much as 1.5 percent in trade on Thursday after the Indian rupee declined, benefiting the IT sector companies that make a large portion of their earnings from exporting software.