Mumbai-based IT services company Hexaware Technologies has announced that it has acquired US-based digital services firm Mobiquity. The stock exchange filing showed that it was an all-cash deal worth $182 Mn.
The transaction involves an upfront payment of $131 Mn and deferred payouts of $51 Mn, the filing said.
Srikrishna, CEO, Hexaware Technologies said that Mobiquity strengthens its two key strategic offerings: Cloudify Everything and Customer Experience Transformation. With the acquisition, Hexaware will be able to further accelerate its contributions to its customers’ business growth.
“Our combined capabilities will enhance our market positioning and opportunity to make an impact for our clients,” he said.
Established in 1990, Hexaware is the next-generation provider of IT, BPO and consulting services. With a team of more than 15K employees, services over 226 customers with 93 being million-dollar businesses.
At the same time, Mobiquity provides digital consulting services for the world’s leading brands. It leverages Amazon Web Services, Amazon Alexa and more.
Going forward, the acquisition will help Hexaware grow its business in three important industry verticals:
- BFS (banking and financial services)
In the near term, Hexaware will focus on growing revenue through cross-selling and up-selling services across the two platforms, as well as by creating new services.
India is the leading sourcing destination across the world, accounting for approximately 55% market share of the $185 Bn-$190 Bn global services sourcing business in 2017-18. India’s IT and ITeS industry grew to $181 Bn in 2018-19.
As the outsourcing industry gets more dependent on next-gen technology such as artificial intelligence and machine learning to cut back human intervention, the IT service industry is up for an uphaul.