Infosys to Acquire Consultancy Firm Lodestone
India’s leading tech services company Infosys announced today, Sept. 10, a definitive agreement to acquire Lodestone Holding AG, a global management consultancy firm for an aggregate enterprise value of CHF 330 million in cash.
Headquartered in Zurich, Lodestone advises international companies on strategy and process optimization, and provides business transformation solutions enabled by SAP.
Upon completion, the acquisition of Lodestone will strengthen Infosys Consulting and Systems Integration (C&SI) capabilities, by bringing more than 850 employees, including 750 experienced SAP consultants to the company.
[ Also Read: 10 Simple Reasons I Love My Country India ]
“A key plank of our Infosys 3.0 strategy is to expand our Consulting & Systems Integration business. This acquisition fits perfectly into that strategy,” said S. D. Shibulal (pictured above), CEO & managing director, Infosys.
Lodestone will add more than 200 clients across industries including Manufacturing, Automotive and Life Sciences, to the Infosys pool of over 700 clients.
Post-acquisition, the combined Consulting practice focusing on SAP programs will deliver revenues of more than $1 Billion, expects Infosys.
[ Also Read: Why Companies Like Infosys Consistently Fail ]
“We are eager to leverage the widely acknowledged global reach of Infosys and its leadership in the consulting and technology arena to deliver greater value to our clients,” said Ronald Hafner, chairman and CEO, Lodestone.
Infosys Consulting & Systems Integration business, today, has more than 30,000 consultants across 10 industry verticals and accounts for 31% of the company’s revenue.
[ Also Read: Is India’s Prime Minister Really Corrupt? ]
The Lodestone acquisition will significantly enhance its global presence, particularly in continental Europe and emerging markets like Latin America and Asia Pacific.
Further, Lodestone’s clients will get ready access to the scale and global reach of Infosys, in addition to a broad spectrum of capabilities across consulting, systems integration and outsourcing.
Photo courtesy: Infosys