Tata Interactive Systems, a subsidiary of Tata Sons and an Indian developer of custom e-learning has announced that it will sell its e-learning solutions unit to the publishing services company MPS Ltd.
Tata Industries said in a statement that the two companies have entered into final agreements over the acquisition of Tata Interactive Systems (TIS) India and its Swiss and German subsidiaries – Tata Interactive Systems AG and Tata Interactive Systems GmbH.
MPS is a Noida-based company that provides platforms and services for content creation, full-service production, and distribution.
MPS said the deal is worth up to Rs 80 crore and the deal is expected to be closed by June 30 once certain customary conditions are met, and Tata Industries’ shareholders approve the deal.
Milind Shahane, currently the CEO of Tata Interactive Systems and Tata ClassEdge, will continue to head both e-learning enterprises for now. Once the deal is closed, he will continue as Tata ClassEdge’s chief executive.
Tata Interactive Systems was founded in 2006. It handles training outsourcing, content development, and educational games. The firm acquired its German and Swiss subsidiaries in 2005. The sale transaction with MPS, earlier known as Macmillan Publishing, is subject to consents from Falta Special Economic Zone about the transfer of TIS’ Kolkata unit as well as from German Federal Ministry of Economics and Energy in connection to TIS’ overseas arm.
In fiscal 2017, TIS had reported consolidated revenues of Rs 140 crore. Recently, TIS’ CEO Nirav Khambhati left the unit to join Kaizen Private Equity as a partner.