BENGALURU, June 16 (Reuters) - Indian information technology (IT) company Tata Consultancy Services (TCS.NS) said on Friday it has mutually agreed with insurance provider Transamerica to end a $2 billion contract, citing reasons including a challenging macro environment.
The 10-year contract, signed in early 2018, involved TCS working with U.S.-based Transameria to enable the digitization of more than 10 million policies into a single integrated platform.
Administration of those policies, including life insurance and retirement and investment solutions, will be moved to a new servicing model, which will take about 30 months, TCS said.
"It's more of a sentimental negative rather than a big impact on the financials of TCS," said Siddhartha Khemka, head of retail research at Motilal Oswal Financial Services.
"We don't see a big impact because of this.
Persons:
Siddhartha Khemka, Khemka, Navamya Ganesh, Rashmi Aich, Sonia Cheema
Organizations:
Tata Consultancy Services, U.S, Administration, TCS, Motilal Oswal Financial Services, Indian, Thomson
Locations:
BENGALURU, United States, Europe, Bengaluru