Cognizant Technology Solutions Corporation, a Nasdaq-listed IT and BPO services provider, has acquired UK-based The PIPC Group, a global programme management consulting firm.
Though the company did not disclose the financial details of the transaction, a report in Economic Times suggests the PIPC shareholders will get an initial payment of £23 million (about $34.33 million) in the sale, plus an earn-out payment tied to future performance targets.
Cognizant believes the acquisition will complement its existing project management and consulting capabilities, and further boost its ability to provide integrated services across consulting, technology, and business process outsourcing space, it said in a statement. The acquisition also helps Cognizant to expand its footprints in UK, Australia and New Zealand.
PIPC provides programme management services, methods and tools to companies for business transformation. Its cutting edge services include project management office (PMO), a core competency measurement tool which has been deployed in over 800 engagements, the statement added.
PIPC currently has 200 professionals worldwide, primarily in the UK, Australia, New Zealand, and the US.
Francisco D’Souza, president and CEO, Cognizant, said, in the statement, “PIPC’s strategic programme management offerings will strengthen our ability to manage increasingly complex global projects while expanding our geographic footprint, particularly in Australia, New Zealand and the UK.”
Simon Rawling, group managing director, PIPC, said, “We have the right cultural fit, and together we can drive business transformation initiatives that combine high-quality consulting, IT, and business process outsourcing services with our advanced project management offerings.”
Cognizant has earlier acquired the Indian captive outsourcing unit of Swiss banking major UBS in October last year. Prior to that, it acquired MarketRX, an analytics provider for the pharma and biotech industry in Gurgaon.
Cognizant currently has 85,500 associates worldwide, with over 50 delivery centers globally. The first quarter revenue of the company rose to $959.7 million, up by 28.7% in 2010 from $745.9 million in the corresponding quarter a year ago.