Saksoft extends rally on acquisition of majority stake in DreamOrbit

Industry: Information technology 2016-12-18

Saksoft has surged 13% to Rs 252 on the BSE in intra-day trade on Friday after the company said that it has signed an agreement to acquire a majority stake in Bengaluru-based DreamOrbit Softech Private Limited (DreamOrbit). The stock ended 9% higher at Rs 223 on Thursday.

DreamOrbit is a technology solution consulting firm with a focus on providing information technology (IT) services to the logistics industry. It has consolidated revenues of Rs 29 crore for the financial year 2015-16.

“With this acquisition, Saksoft will further strengthen its offerings in the Digital space with special emphasis on Internet of Things (IoT). It will also enable Saksoft to penetrate the logistics industry,” the company said in a statement.

The cost of acquisition involved in acquiring 60% of stake in DreamOrbit is Rs 16.75 crore, it added.

Incorporated in 2010, DreamOrbit has been providing specialist technology solutions for the logistics & transportation (including air, land & ocean) enterprises and has offices in Bengaluru (India), Delaware (USA). The company has 230 employees and works with 40+ active customers.

At 11:03 am; the stock was up 10% at Rs 245 as compared to 0.07% decline in the S&P BSE Sensex. A combined 173,241 shares changed hands on the counter against an average 50,000 shares that were traded daily in past two weeks on the BSE and NSE.