The Indian multinational corporation Wipro announced that it has signed an agreement to acquire London based technology management consultancy Capco for $1.45 billion.
Capco is a global management and technology consultancy providing financial services with a dedicated energy division, headquartered in London.
The IT- giant, Wipro’s acquisition is subjected to customary closing conditions and regulatory approvals and is expected to close around June 30, 2021.
The deal will be funded through internal accruals and debt which is also an all-cash one.
According to regulatory filing, this acquisition will make Wipro one of the largest global consulting and transformation service providers for banking end to end.
Combining Capco’s domain and consulting strength with Wipro’s digital transformation, strategic design, cloud, IT, cybersecurity and operation services.
Clients will get access to a company who can deliver integrated solutions.
The Chief Executive Officer and managing Director of Wipro Limited, Thierry Delaporte said:
“We are very excited to welcome Capco’s admirable leadership team and employees, and global clients, to Wipro,”
“Together, we can deliver high-end consulting and technology transformations, and operations offerings to our clients,”
“Wipro and Capco share complementary business models and core guiding values, and I am certain that our new Capco colleagues will be proud to call Wipro home.”
The Chief Executive Officer of Capco Lance Levy said that he is incredibly excited to join his new colleagues at Wipro.
He also mentioned that both the company’s together will be able to offer transformational solutions, powered by innovative technology at scale.
Analysts believe that Capco will be a good addition for Wipro, it will strengthen Wipro’s financial services business and will add scale to its UK and European Operations.
This merger will help add revenues of over $700 million and will see 5000 consultants joining Wipro.
