Tata Consultancy Services (TCS) on August 24 announced the acquisition of MHP Management- und IT-Beratung GmbH, a subsidiary of German automaker Porsche, for an enterprise value of €320 million ($373.33 million) or Rs 3,573.44 crore.

MHP is a leading automotive and industrial consulting firm with expertise in business consulting, digital transformation, AI, software-defined mobility, SAP and manufacturing digitalisation.

The acquisition is expected to be completed within the next three to four months. TCS will be acquiring 100 percent of the company's shares.

As of CY2025, MHP’s turnover was about € 742 million. The company has 4,500 employees.

The acquisition is a part of the strategic partnership between TCS and Porsche to drive AI transformation, anchored in next-generation manufacturing technologies and software-defined mobility.

This is TCS' third major acquisition in less than a year. In December, the IT services giant had bought Florida-headquartered Salesforce consulting and AI solutions firm Coastal Cloud for $700 million, following $72.8 million acquisition of digital marketing services provider ListEngage MidCo. With MHP, TCS has spent over $1 billion in M&A in 10 months.

The MHP acquisition comes at a time when European IT and engineering businesses have been under pressure due to macroeconomic challenges. Prior to this, HCLTech had acquired ASAP Group in 2023 for around Rs 2,300 crore and recently Persistent Systems had acquired Nagarro for Rs. 11,820 crores.

TCS signs € 1.25 billion deal

Following this acquisition, Porsche has also signed a five-year strategic deal with MHP and TCS worth € 1.25 billion (Rs 13,958.75 crore).