In a move boost its capabilities in the end-to-end mortgage services, the US-headquartered Cognizant Technologies Ltd (CTL), which has a large India base yesterday announced the acquisition CoreLogic's Indian operations, provide specialised offshore transaction processing services, for $50 million, in a cash transaction.
Adjustments towards working capital and other charges or credits which would be determined at its closing are included in the deal.
As part of the transaction, the two companies have also entered into a services agreement with a minimum revenue commitment of $324 million plus applicable inflation adjustments, over five years along with various renewal and extension rights.
According to R Chandrasekaran, president and managing director, global delivery, Cognizant, the acquisition would extend his company's footprint in the consumer lending space in North America and enhance its partnership with CoreLogic.
According to Chandrasekaran the company wanted to expand its portfolio offerings with CoreLogic and strengthen its presence in the consumer lending industry in the US. The deal would also enhance its go-to-market capabilities with a deep understanding of the CoreLogic process, data, and technology platform.
He added the partnership would also allow Cognizant to provide a compelling value proposition to customers by leveraging complementary capabilities that Cognizant and CoreLogic India had to offer.