Tata Consultancy Services has reached a definitive agreement to acquire German automotive and industrial consulting firm MHP Management- und IT-Beratung GmbH from Porsche AG for an enterprise value of €320 million, anchored by a broader five-year strategic partnership valued at €1.25 billion, according to regulatory filings released on August 24, 2026.
Engineering the Digital Shift in Stuttgart
The transaction, executed through TCS’s Netherlands subsidiary, targets 100% ownership of MHP. It cements an expanded alliance between the Indian IT giant and the luxury carmaker based in Stuttgart, Germany. The engagement is set to take effect immediately upon the closing of the acquisition, which regulatory authorities expect to finalize within three to four months, subject to standard EU merger control and foreign investment clearances.
MHP brings profound expertise in artificial intelligence, digital transformation, SAP integration, manufacturing digitalization, and software-defined mobility. According to corporate reporting data, MHP recorded a turnover of €742 million for calendar year 2025, dipping from €830 million in calendar year 2024 and €828 million in calendar year 2023. Despite this revenue contraction, the firm retains a robust headcount of approximately 4,500 professionals distributed across offices in Germany, Romania, the United Kingdom, the United States, India, and Mexico.
Industrializing Artificial Intelligence for Global Mobility
TCS will establish a dedicated AI Mobility Centre of Excellence specifically designed to scale artificial intelligence applications across Porsche’s engineering divisions, manufacturing plants, operational supply chains, and customer experience frameworks.
Expanding European Footprint and Market Dynamics
For TCS, this cash-funded transaction serves a dual strategic purpose.
The deal represents a milestone in IT-automotive convergence, mirroring a broader industry trend where traditional manufacturers divest internal IT units to specialized technology partners to share soaring R&D costs. As regulatory bodies begin their review of the enterprise agreement, leadership teams in both Mumbai and Stuttgart are moving forward with integration plans designed to ensure uninterrupted service delivery for MHP’s extensive client portfolio across multiple continents.
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