Telus International agrees $250m deal for Xavient Information Systems
Telus International will take a 65% stake in US IT consulting firm Xavient with the ability to expand its holding over the next three years
Telus International has unveiled plans to buy global IT consulting firm Xavient Information Systems in a deal worth an estimated $250 million.
The initial deal will see Telus International, which is majority-owned by Canadian operator Telus, take a 65% stake in US firm Xavient, which offers digital transformation stacks and full lifecycle IT services across the telecoms, media, BFSIm healthcare, and consumer technology verticals.
Telus International said the deal would help accelerate plans to expand its global service offering by adding advanced, next-generation IT consulting and delivery capabilities, including UI/UX, open source platform services, cloud, and OTT solutions, to its portfolio. It will also allow it to offer internet of things, big data services, DevOps, and automation and digitisation to its suite for both existing and prospective clients.
The acquisition will also advance Telus International's commitment to grow capabilities in the US and enhance its geographic diversity by expanding into India, its first operations in the country.
The deal will be financed through Telus International’s credit facilities, with an initial 65% stake that can be expanded on or before 31 December, 2020. Telus International said it expects the deal to close before the end of 2017.