Tech Mahindra Approves Merger Of BPO Firm vCustomer Philippines With Parent

Tech Mahindra Ltd. has approved the merger of its step-down subsidiary vCustomer Philippines (Cebu) with its parent vCustomer Philippines Inc., a wholly owned subsidiary of the company. 

vCustomer Philippines and vCustomer Philippines (Cebu) are business process outsourcing service providers. 

The consolidation will promote efficiencies and reduce administrative and operating costs in all aspects of the business, Tech Mahindra said in a statement.

It will also streamline businesses, achieve greater efficiency in the use of the resources of the constituent corporations, and consolidate the ownership of the assets of VCPI.

“The merger is subject to regulatory approvals in the country of incorporation. The appointed date of the plan of merger is April 1, 2024," the company said. "The merger will not result in any gain or loss, but merely the pooling of the interests of vCustomer Philippines, Inc." 

The revenue of vCustomer Philippines, Inc. is $675,121,320, and that of vCustomer Philippines (Cebu), Inc. is $2,326,036,199. Both the transferor and transferee companies are wholly owned subsidiaries and hence there will be no cash consideration or issue of new shares involved under the plan of merger, Tech Mahindra said.