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Saksoft soars after deal to acquire digital engineering firm Augmento Labs

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Last Updated : Jun 13 2024 | 2:31 PM IST

Saksoft zoomed 14.15% to Rs 297.35 after the company announced the acquisition of Bangalore-based Augmento Labs, a digital engineering company, in a strategic move to enhance its capabilities and presence in the product engineering space.

Founded in 2019, Augmento Labs has established itself as a niche player in the Digital Engineering space offering innovative solutions across various industries including Hi-Tech, automotive, healthcare, and industrial domains. The company has recorded turnover of nearly Rs 45 crore for FY2023-24.

Saksoft has acquired 100% stake in Augmento Labs for a total cash consideration of upto Rs 100 crore, with an upfront cash consideration of Rs 35 crore. The balance as earnout consideration based on performance over two financial years. The company expects to finalize the transaction by the end of the current quarter, pending customary closing conditions.

"This acquisition will signiϐicantly enhance Saksoft's ability to offer comprehensive solutions across digital engineering spectrum across our focus verticals, the company said in a statement.

Aditya Krishna, chairman & managing director, Saksoft, said: We believe that acquiring Augmento Labs will significantly strengthen Saksofts position in the dynamic and rapidly growing digital engineering market.

Augmento Labs robust engineering expertise and domain knowledge will complement Saksofts broad scale and digital prowess, providing Augmento Labs esteemed client base access to our cutting-edge AI, cloud, and data technologies."

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Saksoft is leading digital transformation solution partner for fintech, transportation & logistics, telecom & utilities, retail e-commerce and healthcare customers worldwide.

The company had reported 3.1% rise in net profit to Rs 23.2 crore on a 1.1% increase in operating income to Rs 194.9 crore in Q4 FY24 over Q3 FY24.

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First Published: Jun 13 2024 | 1:58 PM IST

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