We categorically state that no member of the Infosys management team was involved in any prior investments in Panaya, and insinuations that anyone from the management team at Infosys benefitted from this acquisition are misleading and slanderous”, the statement read.
Regardless of the malicious intent of this anonymous letter, the company will pursue its normal course of action and investigate the charges made. As stated before, the company will respond to all queries received either directly or from the regulatory authorities, as per its process.
Furthermore, in a detailed clarification, Infosys raised certain pointers with regards to the Panaya acquisition.Infosys has a strong, established internal process to evaluate acquisition targets and make investments.
In the case of Panaya, all the requisite steps in this process were followed. The valuation was done by Deutsche Bank, the financial and tax due diligence was done by one of the Big four firms and legal diligence was done by a leading law firm – Kirkland & Ellis.
The management presented the rationale behind the acquisition – including synergies and business potential to the Board, along with necessary reports and findings. The Board deliberated the acquisition, and unanimously approved the investment which was well within the valuation range determined by the evaluator.