Tech Mahindra - Diversifying its Clientele

Tech Mahindra Ltd (TML) is a leading provider of solutions and services to the telecom industry. It is India’s fifth largest software company. It serves telecom service providers, equipment manufacturers, software vendors and system integrators. Mahindra & Mahindra holds majority stake in the company while British Telecommunications (BT) is a partner in it. High client concentration: TML’s excess reliance on BT creates both advantages and disadvantages. On the positive side, deals (projects) from BT provide TML with a steady revenue stream. In recent times, BT has restructured many of its deals. The annual revenue from BT is estimated to be around £70-72 million. On the negative side, since almost 35 per cent of the TML revenu