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Capgemini Acquires AI firm WNS In All Cash Deal, Read Key Deal Details

Capgemini Acquires AI firm WNS In All Cash Deal, Read Key Deal Details

India.com5 days ago
New Delhi: French consulting and technology group Capgemini announced on Monday that it will acquire UK-based digital business process services firm WNS in an all-cash deal worth USD 3.3 billion (not including WNS's net financial debt). Capgemini will pay USD 76.50 per share, which is a 17 Percent premium over WNS's closing share price on July 3, and a 28 Percent premium over the average share price of the past 90 days.
Here are 10 key points about the deal in straightforward language:
Deal Purpose: Capgemini says this acquisition will help it become a leader in "Intelligent Operations," using advanced AI (like agentic AI, which can act independently) to help businesses automate and improve their processes.
Board Approval: The boards of both Capgemini and WNS have approved the deal, which is expected to be completed by the end of 2025.
Premium Paid: The price per share (USD 76.50) is 17 Percent higher than WNS's last closing price and 28 percent higher than the average price over the last 90 days.
WNS's Business: WNS has a strong business model with non-linear pricing and high profitability. Over the past three years, its revenue has grown by over 9% per year (in constant currency), reaching USD 1.27 billion in fiscal year 2025, with an 18.7 percent operating margin.
Market Impact: Capgemini says that global companies need partners to help them transform and grow, which is driving demand for digital business process services. WNS is targeting revenue growth of 7-11 Percent for fiscal year 2026.
Immediate Value: Capgemini expects the combination to quickly create value by allowing both companies to sell more services to each other's clients, and to better compete in the growing market for AI-powered business operations.
Global Reach: The deal will make Capgemini a leader in digital business process services, with expertise across different industries and a global presence.
Financial Impact: The combined digital BPS (business process services) revenues are expected to be about EUR 1.9 billion in 2024. Capgemini expects the acquisition to boost its revenue growth and operating margin right away, and to increase its earnings per share by 4 percent in 2026 (before synergies) and by 7 percent in 2027 (after synergies).
Synergies: Capgemini expects to achieve additional revenue of EUR 100-140 million per year by 2027 from new business opportunities, and to save EUR 50-70 million per year from cost and operating efficiencies.
AI Investments: The combination will also make use of Capgemini's significant investments in AI, including partnerships with Microsoft, Google, AWS, Mistral AI, and NVIDIA.
Capgemini has stated that its financial targets for 2025 do not include this acquisition and remain unchanged: it expects revenue growth between -2.0% and +2.0% at constant currency, and an operating margin of 13.3-13.5 percent
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