BackNIIT Tech’s arm to acquire 55% interest in US firm RuleTek
NIIT Tech's arm Incessant Technologies says it will acquire 55% interest in RuleTek, in a bid to boost its digital integration capabilities and expand North America footprint
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New Delhi: Incessant Technologies, an arm of NIIT Technologies, on Wednesday announced it will acquire 55% interest in US-based RuleTek, in a bid to boost its digital integration capabilities and expand North America footprint.
Incessant Technologies has “signed a definitive agreement to acquire 55 % interest in RuleTek", NIIT Tech said in a regulatory filing without disclosing the deal size. “The transaction will enable Incessant to strengthen its digital integration capabilities and expand its footprint in the high-opportunity North American market and near-shore capabilities to its existing delivery model," the statement said.
RuleTek, headquartered in Meridian, Idaho, US, is a business process management architecture services company that has done implementations for Fortune 500 companies. It has 65 employees and reported a revenue of $6.47 million (Rs41.74 crore) for 2016-17.
Vijay Madduri, CEO of Incessant Technologies, said the deal offers “substantial synergies" to accelerate growth in the North American market. “This initiative enhances our near-shore capabilities in line with our intent to service our US clients with a well rounded delivery model involving on-site, offshore and near- shore capability," Arvind Thakur, CEO and Joint MD of NIIT Technologies, said.
The transaction will be margin and earnings accretive and will provide the clients of Incessant and RuleTek access to over 500 certified consultants, the company added.
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