Tech Mahindra divests majority stake in education subsidiary

Tech Mahindra announced that Mahindra Educational Institutions (MEI), previously its wholly-owned subsidiary, is no longer entirely owned by the company as of December 26, 2025. This change occurred after MEI approved the allotment of 1,650,000 equity shares of INR 10 each for cash, at par, to Mahindra Knowledge Trust (MKT) through a preferential basis private placement. The total consideration for this allotment amounted to INR 165,000,000.

As a result of this allotment, Tech Mahindra's shareholding in MEI has been diluted from 100% to 0.6%, effectively causing MEI to cease being a wholly-owned subsidiary. MEI reported a turnover of INR 0 and a net worth of INR 4,18,82,77,000 as of March 31, 2025.

Mahindra Knowledge Trust, the buyer, is a registered trust established for public charitable purposes including education and relief. It is not part of Tech Mahindra's promoter or promoter group companies, and the transaction is not considered a related party transaction. Tech Mahindra did not receive any direct consideration from this sale.