Infosys on Monday announced a definitive agreement to acquire Simplus, one of the fastest growing Salesforce Platinum Partners in the USA and Australia.The acquisition is expected to close during the fourth quarter of fiscal 2020, subject to customary closing conditions, Infosys said in a statement after market hours yesterday, 10 February 2020.
According to a regulatory filing, the cost of acquisition is $200 million including contingent consideration to be paid for the acquisition of shares subject to closing adjustments. In addition, there are employee incentives and retention payments amounting up to $50 million on meeting certain performance conditions over three years, it added.
Simplus is a recognized leader and advisor in cloud consulting, implementation, data integration, change management and training services for Salesforce Quote-to-Cash applications.
This acquisition, coupled with the acquisition of Fluido announced in September 2018, further elevates Infosys' position as an end-to-end Salesforce enterprise cloud solutions and services provider, offering clients unparalleled capabilities for cloud-first digital transformation. Simplus brings to Infosys globally recognized Salesforce expertise, industry knowledge, solution assets, deep ecosystem relationships and a broad clientele, across a variety of industries including high-tech, financial services, retail, healthcare, life sciences and manufacturing. It has offices across North America, Sydney, Melbourne, London, and a large delivery center in Manila.
Shares of Infosys was up 0.10% at Rs 774. The stock has risen about 4.77% in the past one month.
On a consolidated basis, Infosys' net profit rose 12.23% to Rs 4,457 crore on a 2.04% increase in revenues to Rs 23,092 crore in Q3 December 2019 over Q2 September 2019.
Infosys is a global leader in next-generation digital services and consulting.
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