Coforge will initially acquire a 60% stake for ₹918.3 crore, which will see SLK Global’s founders exiting the firm, and Fifth Third Bank’s stake will be reduced to 40%.
IT services firm Coforge Ltd, formerly NIIT Technologies, on Monday said it has signed definitive agreements to acquire a controlling stake in SLK Global Solutions Pvt. Ltd, a business process transformation firm offering BPM and digital solutions for the financial services industry.
SLK has domain expertise in banking and insurance and operates in North America, it added. It enjoys multiple long-standing and scalable relationships with clients, including Fifth Third Bank, which is also a significant minority of the company.
Coforge will initially acquire a 60% stake for ₹918.3 crore, which will see SLK Global’s founders exiting the firm, and Fifth Third Bank’s stake will be reduced to 40%. It will acquire another 20% from Fifth Third Bank after two years.
“We expect very strong business synergies to be generated through this deal. This differentiated, high growth, margin accretive business strengthens our position in the North America financial services industry and our BPM business. Coforge’s digital capabilities will be highly relevant to SLK Global’s customer base, while the latter’s capabilities will enable Coforge to compete more effectively for deals that have a major BPM/BPO operations component," said Coforge CEO Sudhir Singh.