On 4th Mar 2021, the Bengaluru-based software company, Wipro, has announced that it is going to buy privately-held British consultancy firm Capco for $1.45 billion. As per the company, this deal will strengthen its presence in the banking, financial services & insurance (BFSI) space. This deal is termed Wipro’s largest acquisition deal in its history.
Wipro chairman Rishad Premji told analysts hours after the announcement that this is the largest acquisition in Wipro’s history. He also shared that this deal will bring $700 million in revenue.
With this deal, Wipro will join a select league of providers who bring end-to-end solutions at scale to our customers. Banking and financial services is a high growth and priority area for Wipro which will drive accelerated growth as per the chairman.
He further added, “I said a few months ago that you will see a bolder Wipro, a Wipro that will be more risk taking and shake up the apple cart. This acquisition paves the path to build a bold tomorrow.”
The London-based company, Capco, is a business and technology management consultancy firm with a focus on financial services and a dedicated energy division.
The deal is an achievement of the new management under the CEO Thierry Delaporte, who was appointed to the position last year in July. Thierry is focused on bringing the company back to its glory and regain the lead in the market which it may have lost to its rivals in the past.
Wipro CEO and MD Thierry Delaporte told analysts financial institutions were investing in technology more than ever as reported by Indian Express. “They are looking to connect with clients, improve employee experience, and create new revenue channels. So you have to play at different levels. You need to think about strategies, transformations with CXOs and execute them to make them win. So this acquisition is strategic and comes at the right time,” he added.