MosChip Technologies said its board had approved on 16 April the acquisition of a 73% stake in Vayavya Labs, an embedded-systems and verification engineering firm based in Belagavi, Karnataka, for ₹245.49 crore.
Why MosChip Technologies Limited is buying Vayavya Labs Private Limited (73%)
MosChip said the deal would strengthen its software-led product engineering capabilities. The combined group would have more than 2,000 employees across Hyderabad, Bengaluru, Pune, Ahmedabad, Belagavi and Silicon Valley.
Deal terms and financing
About 60.5% of the price is to be paid in cash from internal accruals and the rest through the issue of MosChip shares to Vayavya's sellers. MosChip intends to buy the remaining 27% after March 2028, with the price tied to Vayavya's performance. The deal is subject to regulatory approvals.
Regulatory approvals and timing
In proceedings between Ras Al Khaimah Investment Authority and persons connected with MosChip's promoters, India's Supreme Court on 11 May 2026 ordered status quo on the proposed acquisition. MosChip, which says it has no connection with the dispute, was allowed to intervene; a judgment on 1 September 2026 modified the status quo order subject to the respondents providing ₹200 crore of additional security, according to MosChip's 8 September exchange filing.
Market context
Vayavya Labs was founded in 2006 and works in embedded systems, digital twins and verification for semiconductor, automotive and electronics clients, holding nine granted patents.
