Wipro to make its biggest acquisition, software service company Wipro announced that it will acquire Capco a privately help British firm in a $ 1.45 billion deal.
The firm promoted by Azim Premji said that by the acquisition the firm will become one of the main companies to provide end-to-end global consulting, transformation, and technology service providers to the financial and banking services industry.
Wipro will be benefited from the access it gains to additional 30 large BFSI clients. Thierry Delaporte CEO and MD while talking to analysts mentioned that the investment by financial institutions was higher than ever.
The company is required to function at different levels as the institutions are trying to connect with clients, improve employee experience, create new ways of generating revenues.
Delaporte added that the acquisition was a strategic move at the right time. Different strategies, transformation with CXO’s and the way of execution were thought about before the acquisition.
Capco based in London provided services to financial institutions across America, Europe, and Asia-Pacific regions. CEO of Capco Lance Levy observed that the market was stronger partly due to the pandemic. Lance said that more customers are demanding a single service provider. Technology is being put to use at a fast rate by financial institutions and the demand for the same is expected to continue for some time.
According to Thierry, Capo’s expertise will guide the development of new technologies and capabilities. The company’s capability to serve a large following is of importance and the capacity to address many stakeholders’ concerns is crucial.
Senior director analyst of Gartner DD Mishra noted that Capco’s acquisition by Wipro complements the consulting organization. IT service providers are required to engage with their customers early to assist their journey as the total number of deals from RFP roles are declining.