2 min readBangaloreFeb 16, 2015 12:20 PM IST
First published on: Feb 16, 2015 at 11:30 AM IST
Some of the founders of Infosys Ltd want to sell shares for $1.1 billion in the Indian IT outsourcing company, said a person familiar with the matter. (Reuters)
Indian IT major Infosys on Monday announced its first major acquisition under new CEO Vishal Sikka by making public a $200 million cash deal to buy the Israeli firm Panaya, Inc., a provider of automation technology for large scale enterprise software management. The deal will be closed by the end of the current financial year.
Infosys’ who have been very conservative in its acquisition strategies over the years said the Panaya deal reflects “execution of its Renew and New strategy to enhance the competitiveness and productivity of current service lines by leveraging automation, innovation and artificial intelligence’’.
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“Panaya’s CloudQuality suite uniquely positions Infosys to bring automation to several of its service lines via an agile SaaS model, and helps mitigate risk, reduce costs and shorten time to market for clients,’’ the company said in an official statement on Monday morning.
“The acquisition of Panaya is a key step in renewing and differentiating our service lines. This will help amplify the potential of our people, freeing us from the drudgery of many repetitive tasks, so we may focus more on the important, strategic challenges faced by our clients,’’ Infosys CEO and Managing Director Vishal Sikka said in an official statement. “Panaya’s proven technology helps dramatically simplify the costs and complexities faced by businesses in managing their enterprise application landscapes,” he said. Panaya was originally founded in 2005 in Israel.
The company has a small employee base of around 50 people and has clients like Mercedes Benz, Sony, Unilever in its ranks. It was among the top 100 global tech start-ups in 2009 and the top 10 in Israel.
“We are excited about leveraging Infosys’ global reach, service footprint and broad customer base to deliver compelling, simplifying, value to clients. I am confident this integrated proposition will uniquely position Infosys as the services leader in the enterprise application services market.” CEO, Panaya, Inc. Doron Gerstel said.
Some of the founders of Infosys Ltd want to sell shares for $1.1 billion in the Indian IT outsourcing company, said a person familiar with the matter. (Reuters)
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