KPIT announced a merger with Birla soft and a subsequent demerger of its Engineering business, effectively implying creation of two separate businesses- the combined KPIT-Birla soft entity and the Engineering entity. As part of the deal, shareholders of Birla soft will receive 22 equity shares of the combined KPIT-Birlasoft entity for every nine shares of Birlasoft. Share count at Birlasoft was 31.4m, implying that the swap ratio would lead to creation of ~77m shares, 39% of current equity base. At CMP of INR208 as on 29th January 2018, this implies EV of INR13b (USD200m) for Birlasoft, after adjusting for net cash of INR3b (USD47m) on the company's balance sheet.