Arab Today, arab today capgemini to buy igate in 4bn us expansion push
Last Updated : GMT 13:13:55
Arab Today, arab today
Arab Today, arab today

5% higher than its NASDAQ close

Capgemini to buy IGATE in $4bn US expansion push

Arab Today, arab today

Arab Today, arab today Capgemini to buy IGATE in $4bn US expansion push

Capgemini will purchase IGATE stock at $48 per share
Paris - Arab Today

French IT services and consulting company Capgemini said Monday it was buying New Jersey-based IGATE for $4 billion (3.7 billion euros), boosting its US-generated business to 30 percent of its total activity.

"IGATE is a leading company that perfectly fits our strategic ambition. It will give us a new status on the American market, and take further our industrialisation journey to offer ever more competitive services to our clients," said Capgemini president Paul Hermelin in a statement.

Hermelin said the combined companies would post 12.5 billion euros in annual revenues, a third of which would be generated in North America, which he called the "largest and most innovative market for IT services... (and) by far the first market of the Group."

In a conference call with reporters, Hermelin noted that in considering various acquisition options, Capgemini had "above all looked for a company that would allow us to reinforce geographically in the United States" -- something IGATE does by generating nearly 80 percent of its annual $1.3 billion in revenues in North America.

The purchase, which has been approved by the boards of both companies, also brings IGATE clients, including General Electric and the Bank of Canada, into Capgemini's stable.

IGATE, an applications, network and business process outsourcing specialist, will also help to expand Capgemini's position in the healthcare, retail and manufacturing markets.

The link-up will create a combined workforce of 190,000 employees, of which around 50,000 service US clients and another 27,000 are based in India.

Capgemini will purchase IGATE stock at $48 per share -- five percent higher than its NASDAQ close Friday -- and will be partially financed with cash.

Remaining funding will come from a capital increase that Hermelin said would decrease the value of existing Capgemini shares by no more than six percent, as well as debt.

The acquisition should be finalised during the second half of the year, and is expected to create annual synergies of 100-150 million dollars, and cost reductions of 75-105 million dollars, Capgemini said.

News of the move sent Capgemini stock up three percent at the opening of the Paris Bourse.
Source: AFP

arabstoday
arabstoday

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today capgemini to buy igate in 4bn us expansion push Arab Today, arab today capgemini to buy igate in 4bn us expansion push

 



Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today capgemini to buy igate in 4bn us expansion push Arab Today, arab today capgemini to buy igate in 4bn us expansion push

 



Arab Today, arab today
Arab Today, arab today Youssra depended on colored foam

GMT 16:53 2017 Tuesday ,05 September

Youssra depended on colored foam
Arab Today, arab today EasyJet, Lufthansa among seven to bid

GMT 06:49 2017 Tuesday ,17 October

EasyJet, Lufthansa among seven to bid
Arab Today, arab today Etiquette expert underlines importance of gifts

GMT 17:52 2017 Sunday ,03 September

Etiquette expert underlines importance of gifts
Arab Today, arab today Fighters celebrate Raqa victory

GMT 06:07 2017 Wednesday ,18 October

Fighters celebrate Raqa victory
Arab Today, arab today Hiring not part of Alibaba pledge

GMT 11:26 2017 Wednesday ,18 October

Hiring not part of Alibaba pledge
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Sidem reveals plan to improve education

GMT 15:52 2017 Friday ,06 October

Sidem reveals plan to improve education
Arab Today, arab today British actress becomes fifth woman

GMT 18:15 2017 Monday ,16 October

British actress becomes fifth woman
Arab Today, arab today Three killed, 360,000 without power

GMT 05:11 2017 Tuesday ,17 October

Three killed, 360,000 without power
Arab Today, arab today The history of solar eclipses

GMT 05:16 2017 Sunday ,20 August

The history of solar eclipses
Arab Today, arab today Mercedes says recalls 400,000 UK cars

GMT 06:56 2017 Tuesday ,17 October

Mercedes says recalls 400,000 UK cars
Arab Today, arab today Britain's Vauxhall to cut 400 jobs

GMT 10:53 2017 Sunday ,15 October

Britain's Vauxhall to cut 400 jobs
Arab Today, arab today Dalal Abdel Aziz happy for “Seventh Neighbor”

GMT 09:31 2017 Monday ,16 October

Dalal Abdel Aziz happy for “Seventh Neighbor”
Arab Today, arab today India to close colonial-era military farms

GMT 18:49 2017 Monday ,16 October

India to close colonial-era military farms

GMT 12:33 2017 Friday ,13 October

Anoshka happy for reactions to her talk show

GMT 10:37 2017 Thursday ,12 October

Cara Delevingne accuses Weinstein

GMT 16:53 2017 Saturday ,02 September

Mai importance of gifts during Eid Al-Adha

GMT 12:02 2017 Saturday ,14 October

Conservation cutbacks put Brazil's

GMT 10:46 2017 Saturday ,05 August

Nanis reveals simple ideas for home renovation

GMT 23:42 2017 Monday ,16 October

Better Marriages Make

GMT 07:02 2017 Sunday ,15 October

German minister sparks uproar

GMT 17:12 2017 Monday ,07 August

Al-Shawaifi reveals secrets of total solar eclipse

GMT 03:59 2017 Sunday ,15 October

US mobile carriers Sprint, T-Mobile to merge

GMT 11:37 2017 Saturday ,12 August

Fashion designer reveals her new collection
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday