PA Consulting Group has denied the reports of being in talks with Cognizant Technology Solutions for a buyout deal. Economic Times reported yesterday that Cognizant was in early stage discussions with PA consulting for acquiring it for around $300-350 million.
“PA's Executive team and Board are not, nor have ever been, in talks with Cognizant about anything whatsoever. There is no truth at all in the allegation of an acquisition of PA, nor any part of PA; nor in the possibility of alliances, partnerships or the like,” PA Consulting has said in a statement issued today.
The statement further clarifies that PA lays great emphasis on its ability to give its clients independent advice and cites this as a strong reason for not pursuing an alliance with Cognizant. The statement says, “the PA is a highly successful employee-owned global management and technology consulting firm, working across the world with major companies in the private and public sectors. We are one of the large stand most influential sourcing advisory firms and we take very seriously our ability to give our clients independent advice. The emphasis we place on this independence is one reason why we would not pursue an alliance with Cognizant.”
Referring to a report in The Economic Times, PA Consulting has said that it is seeking advice about the “highly inaccurate financial performance information given in the article, particularly as it understates PA's financial performance and is in direct conflict with its audited “information.