Infosys bags $454 mn deal from Danske Bank; to acquire bank's IT centre

IT major Infosys has bagged a digital transformation deal from Denmark-based Danske Bank estimated to be around USD 454 million for five years, the company said on Monday.

As part of the strategic collaboration with Danske Bank, Infosys will acquire Danske Bank's IT centre in India, which employs 1400 digitally skilled professionals

"Danske Bank, a leading Nordic bank, has selected Infosys as Strategic Partner to accelerate the bank's digital transformation initiatives with speed and scale. This collaboration will help Danske Bank achieve its strategic priorities towards better customer experiences, operational excellence, and a modernised technology landscape, powered by next-gen solutions," Infosys said.

Nordics is a strategic market for Infosys and this collaboration further enhances our commitment to the region.

"The estimated deal value is USD 454 million for a period of 5 years with an option to renew for one additional year for a maximum of three times," the company said.

Infosys said that it will acquire a 100 per cent stake in Danske Bank's IT centre in India in an all-cash deal for about Rs 16 crore, according to a regulatory filing.

"We expect the transactions to be completed before the second quarter of the financial year 2024, subject to customary closing conditions," Infosys said in the filing.

Infosys Chief Executive Officer and Managing Director Salil Parekh said the company's rich experience in financial services transformation to work for Danske Bank and help the bank accelerate its strategic growth agenda.

"Infosys will collaborate with Danske Bank to strengthen their core business with greater digital, cloud and data capabilities. This will help Danske Bank create more value for their customers using powerful advances in AI, including generative AI," Parekh said.