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Moschip Technologies zooms on signing share purchase agreement to acquire Softnautics Inc

Mar-28-2023   14:55 Hrs IST

Moschip Technologies is currently trading at Rs. 65.55, up by 1.45 points or 2.26% from its previous closing of Rs. 64.10 on the BSE.

The scrip opened at Rs. 64.10 and has touched a high and low of Rs. 66.90 and Rs. 63.33 respectively. So far 268472 shares were traded on the counter.

The BSE group 'X' stock of face value Rs. 2 has touched a 52 week high of Rs. 82.40 on 01-Sep-2022 and a 52 week low of Rs. 43.30 on 21-Jun-2022.

Last one week high and low of the scrip stood at Rs. 67.25 and Rs. 62.20 respectively. The current market cap of the company is Rs. 1086.18 crore.

The promoters holding in the company stood at 55.15%, while Non-Institutions held 44.85% stake in the company.

has signed Share Purchase Agreement to acquire Softnautics Inc, a California based company with a focus on Product Engineering Solutions in Embedded, FPGA and VLSI. Softnautics has offices in California and India (Pune and Ahmadabad). The acquisition of SoftnauticMoschip Technologiess brings highly complementary set of engineering skills, customers, markets & world-class talent along with leadership. Softnautics has established strong customer relationships with top-tier companies across North America and will add 185+ employees to current MosChip talent pool across various domains.

This acquisition will also expand the company’s geographical presence with office in Hyderabad, Bangalore, Pune, and Ahmadabad besides further augmenting presence in North America, which will result in broader access to talent pool. The acquisition which will be completed during next quarter is expected to be EBIDTA accretive and generate free cash flow starting from very first year. The total cost of acquisition is $17.25 million to be paid 52.6% in Swap Shares and 47.4% in cash over a period.

Moschip Technologies is a leading Semiconductor & Embedded design services & Solutions company.