Sonata Software jumped 4.61% to Rs 722 after the company's wholly owned subsidiary Sonata Software North America Inc. announced the signing of definitive agreement for acquiring 100% stake in Quant Systems Inc.
Quant Systems, Inc., a Texas-based IT services corporation, is an enterprise data analytics and cloud modernization service provider for leading Fortune 500 clients and has presence in USA, India and Costa Rica. The corporation has technical expertise in enterprise data analytics, cloud modernization, cyber security, salesforce, data privacy, Adobe, Snowflake, and digital & mobile app solutions, including differentiated IPs for Salesforce (workbox.io) and Chatbot (Lisa) technologies.
The corporation has deep domain expertise in banking and financial services (BFSI), healthcare & life sciences, and consumer / retail serving Fortune 500 clients. Its turnover for CY22 was $37 million.
Sonata Software said that this acquisition is in line with the company's strategy to accelerate the growth curve and build scale. It will accelerate Sonata's capabilities in enterprise data analytics, cloud modernization, cyber security, salesforce, data privacy, Adobe, and digital & mobile app solutions, including differentiated IPs for Salesforce (workbox.io) and Chatbot (Lisa) technologies.
It will expand Sonata's domain expertise in banking and financial services, healthcare & life sciences, consumer/retail and others.
The acquisition has been done for an upfront payment of $65 million. It acquisition cost involves a deferred achievement-based earn-out / pay-outs upto a maximum of $95 million payable over 2 years and certain additional payments on achievement of additional targets.
Dhir, MD & CEO, Sonata Software, said: We aim to be the fastest-growing next-gen Digital firm delivering modernization & digital outcomes for enterprises through our Platformation Framework.
To achieve this vision, we have outlined some key strategic drivers to build scale through service offering expansion in modernization, invest in BFSI and healthcare & life sciences verticals, and build global centres.
Quant Systems aligns to our strategic drivers and will enable us to win larger deals in our focus-verticals and adds two large clients to our top 5 clients list.
Sonata Software provides IT consulting, product engineering services, application development, application management, managed testing, business intelligence, infrastructure management, packaged applications, and travel solutions. The company derives most of its services revenue from overseas, with the US and Europe accounting for major shares of revenues.
The IT company posted 4.39% rise in consolidated net profit to Rs 117.66 crore on a 51.12% jump in revenue from operations to Rs 2,260.78 crore in Q3 FY23 over Q2 FY23.
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