The boards of outsourcing solutions provider Allsec Technologies and business service provider Quess Corp, during their meetings on June 22, have approved a scheme of amalgamation to merge the former into the latter, a joint statement announced on Thursday.
Following the announcement, the Allsec Technologies stock reached an intraday high of ₹482.45, marking a rise of 11.94%. The Quess Corp stock also rose 4.32% to ₹642.9 against the previous close of ₹616.25.
In an all stock deal, minority shareholders of Allsec will receive equity shares of Quess in a 0.74:1 ratio, where they will receive 74 shares of Quess for every 100 shares held in Allsec. Shareholding of Quess in Allsec will be cancelled on merger. According to the scheme of amalgamation, public shareholders of Allsec will hold around 2% stake in Quess.
Post merger, all subsidiaries of Allsec will become subsidiaries of Quess. The deal will be tax neutral for Allsec and Quess, the statement reads.