Key Highlights
- Tech Mahindra to acquire Canada-based Alluri Technologies Inc (Avant).
- Deal structured in tranches with 85% stake to be acquired by July 2026.
- Acquisition valued at CAD 28 million for initial 85% equity stake.
- Avant reported turnover of CAD 58.64 million in CY25.
- Transaction aimed at strengthening BFSI and payments modernization capabilities.
Tech Mahindra has announced the acquisition of Canada-based Alluri Technologies Inc., also known as Avant, in a strategic move to expand its capabilities in the banking, financial services, and insurance (BFSI) sector.
The acquisition will be executed through its wholly owned step-down subsidiary, Tech Mahindra Consulting Group Inc. (TMCG). The company has entered into a share purchase agreement with the sellers to acquire the target entity in multiple tranches.
Deal Structure and Timeline
Under the terms of the agreement, Tech Mahindra will initially acquire an 85 percent stake in Avant for a cash consideration of CAD 28 million, subject to adjustments. The first phase of the transaction is expected to close by July 31, 2026.
The remaining 15 percent stake will be acquired by June 30, 2029, based on a pre-agreed pricing formula, resulting in full ownership of the company over time.
About Avant and Its Capabilities
Avant, headquartered in Canada, specializes in payments modernization and wealth management platforms for North American financial institutions. The company has a workforce of over 240 employees and contractors.
Its core offerings include real-time payment systems, ISO 20022 migration, wire modernization, cloud transformation for core payments, and identity and access management solutions. The company has also been developing AI-led capabilities to enhance business outcomes.
Financially, Avant reported a turnover of CAD 58.64 million in calendar year 2025, up from CAD 53.68 million in 2024 and CAD 31.18 million in 2023, indicating consistent growth.
Strategic Rationale
The acquisition is aligned with Tech Mahindra’s strategy to deepen its domain expertise in BFSI and strengthen its service portfolio in payments and wealth platforms. The integration of Avant is expected to bring in specialized talent, established client relationships, and enhanced delivery capabilities.
The deal will also enable Tech Mahindra to expand its presence in North America and support financial institutions in areas such as open banking, regulatory compliance, fraud management, and digital transformation.
Industry Implications
With financial institutions accelerating investments in cloud, automation, and digital infrastructure, the acquisition positions Tech Mahindra to address evolving client demands. The combined capabilities are expected to help clients modernize legacy systems, improve operational efficiency, and enhance customer experience.
The transaction is not classified as a related-party deal, and no promoter group entities have any interest in the acquired company.