Olam selling IT and digital services unit Mindsprint to Wipro for $483 million
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The sale is part of Olam’s strategy to sell off assets over time and distribute the net proceeds to shareholders via special dividends.
PHOTO: REUTERS
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SINGAPORE - Agri-food giant Olam Group is selling its information technology and digital services unit to Wipro for US$375 million (S$483 million) as part of a broader corporate reorganisation.
The sale of the Mindsprint unit is part of Olam’s strategy to responsibly sell off its remaining assets and businesses over time and progressively distribute the net proceeds to shareholders via special dividends, Olam said on April 6.
The Singapore-listed company also agreed to an eight-year contract to spend US$100 million a year with the global technology services and consulting company. That represents about 55 per cent to 60 per cent of Olam’s total annual spending on technology and shared services.
Under the agreement, Wipro’s consultants will use artificial intelligence tools to upgrade Olam’s technology across its entire supply chain, from farming and manufacturing to customer engagement.
Leadership continuity
Mindsprint will become a wholly owned subsidiary of Wipro upon the completion of the transaction. The sale is expected to close by the end of June.
The unit employs more than 3,200 people globally and serves clients across sectors, including food and agribusiness, manufacturing, retail and healthcare. Key management personnel, including Mindsprint chief executive Suresh Sundararajan, will continue to lead the business to ensure stability and continuity.
Olam Group co-founder and chief executive Sunny Verghese said the transaction marks another milestone in the company’s reorganisation plan, allowing Olam to sharpen its focus on core operating businesses and unlock long-term value.
The partnership aims to advance Olam’s transformation across its “farm to fork” value chain, enhancing operational effectiveness in areas such as farming, manufacturing and supply chain operations.
The Mindsprint deal follows the group’s sale of its stake in Olam Agri to the Saudis. The group also expects the completion and receipt of proceeds from the sale of its remaining stake in port operator Arise P&L “sometime towards the end of April”.
The agri-food company sold or wound down three businesses under the remaining group in the 2025 financial year, leaving it with seven.
Shares of Olam closed flat at 86 cents on April 6. THE BUSINESS TIMES
