Blackstone offers $1.1 billion to buy 26% of India’s Mphasis

Blackstone Group Inc. has offered to a controlling stake in Indian IT outsourcing services provider Mphasis Ltd. for as much as 82.6 billion rupees ($1.1 billion) as demand for cloud computing surges amid the pandemic.

Funds managed by the private equity firm have teamed up with long-term investors including Abu Dhabi Investment Authority and UC Investments to take a majority stake in Mphasis, the private equity firm said in a statement on Monday. That agreement triggered an open offer for an additional 26% stake in the Indian firm at 1,677.16 rupees apiece, or a 1.1% discount to the closing share price on Friday. The stock gained more than 5% in Mumbai after the offer.