Infosys to acquire Simplus in USD 250 mn deal

IT major Infosys said that it will acquire Simplus, one of the fastest growing Salesforce Platinum Partners in the U.S and Australia, in an up to USD 250 million deal.

According to a regulatory filing, the cost of acquisition is "USD 200 million including contingent consideration to be paid for the acquisition of shares subject to closing adjustments".

In addition, there are employee incentives and retention payments amounting up to USD 50 million on meeting certain performance conditions over three years, it added.

Simplus is majority-owned by the institutional investors, founders and key employees, with Salesforce Ventures having a minority stake.

Its revenue stood at USD 67.1 million for the fiscal year ending January 31, 2020.

"This acquisition, coupled with the acquisition of Fluido announced in September 2018, further elevates Infosys' position as an end-to-end Salesforce enterprise cloud solutions and services provider, offering clients unparalleled capabilities for cloud-first digital transformation," Infosys said in a statement.