Bangalore-based Mphasis is planning to exit some businesses that are not strategic to it in the coming quarters. The company is in the process of exiting the low-margin India government infrastructure business.
The mid-size information technology (IT) services company had booked an exceptional loss of Rs 64.4 crore in November-January (Q1FY2014) quarter as it has entered into a definitive agreement for sale of Indian government infrastructure business on a slump sale basis.
Further, the company is looking to sell off an unprofitable business acquired in the past, and if the sale goes through, there could be an impairment charge of $7 million-$9 million (around Rs 42-54 crore) either in February-March 2014 (2QFY14) or in April-June 2014 (1QFY15).
Mphasis an HP Company is a $1 billion global service provider, delivering technology based solutions across industries, including Banking & Capital Markets, Insurance, Manufacturing, Media & Entertainment, Telecom, Healthcare, Life Sciences, Travel & Transportation, Hospitality, Retail & Consumer Goods, Energy & Utilities, and Governments around the world.
