Zensar Technologies to acquire M3bi in $30.6m worth deal
Zensar Technologies, a subsidiary of RPG Group, has agreed to acquire M3bi, an Arizona-based data engineering, and digital engineering company, in a deal worth up to $30.6 million in cash.
The consideration includes an upfront payment of $21.6 million and a performance-based payment of up to $9 million over 36 months.
Founded in 2010, M3bi has a fully-owned subsidiary in India. The company has a workforce of 445 people. After the acquisition, M3bi will continue to be run by its co-founders Anir Khandekar and Suresh Potluri.
For the year ended 31 December 2020, M3bi had revenues of around $26.75 million.
Suresh Potluri, commenting on Zensar acquisition of M3bi, said: “Our customers are some of the most well-recognized global brands. Our clients require advanced engineering skills to develop new platforms and data analytics solutions to make informed decisions to drive better customer experience and engagement. Zensar’s expertise in the digital technology space will add more depth to our customers.”
Zensar Technologies expects its existing data engineering and digital engineering capabilities to be improved by adding M3bi’s capabilities in the areas of data engineering, business intelligence and analytics, data warehousing and big data, and also digital engineering services.
The addition of M3bi is also said to strengthen Zensar Technologies’ new strategy which focuses on areas of market opportunities that enable the company to concentrate organization resources and make investments and alliances for delivering maximum business impact.
Especially, M3bi is said to strongly augment its thrust in the data engineering, analytics and artificial intelligence/machine learning and advanced engineering services, said the India-based digital solutions and technology services company.
Furthermore, the acquisition will add marquee clients to the company’s portfolio in banking, financial services, and insurance, and other verticals, enabling Zensar Technologies and M3bi to jointly drive an expanded range of offerings to global firms.
Management comments on Zensar acquisition of M3b
Commenting on Zensar acquisition of M3b, Ajay S. Bhutoria – CEO and Managing Director, Zensar Technologies, said: “Data engineering and analytics and advanced engineering are key strategic growth opportunities for us. With the addition of M3bi’s capabilities, we will expand our offerings in this space to address the business-critical needs of our clients. Clients looking for large-scale digital transformation will be able to leverage our combined expertise. We are delighted to welcome the M3bi team to the Zensar family and look forward to working closely together to accelerate business growth.”
The deal is expected to close by the end of August 2021, subject to meeting closing conditions.
Earlier this month, Zensar Technologies said that it was selected by UK-based fintech company Infinity Circle for developing a next-gen wealth management platform.