IT firm Tech Mahindra Ltd has signed a definitive agreement to acquire Geneva-based Sofgen Holdings Ltd (Sofgen) for an undisclosed sum. The transaction is expected to close by March 2015, after getting regulatory approvals.
Sofgen, founded in 1999, is an IT consulting group specialised in private, commercial and retail banking. It provides core banking from its principal offices in Geneva, Chennai, Singapore, London and New Delhi.
''This acquisition gives us an opportunity to enhance our expertise to implement modernised core banking and transformation services capabilities. This milestone in the growth journey of Tech Mahindra will establish us as a significant player in the specialised and rapidly growing private banking and wealth management segment globally,'' said CP Gurnani, MD & CEO at Tech Mahindra.
With this acquisition, Tech Mahindra will have the capability to offer a combination of ''Change the Bank and Run the Bank'' services to retail banking, private banking and wealth management customers globally.
''In the past decade, Sofgen has grown to be a leading player in the niche market segments such as private, wealth, retail and commercial banking. Bringing Sofgen into the Tech Mahindra fold will give us access to new geographies, and a different magnitude of customer relationship.'' said Alexander Dembitz, chairman at Sofgen.
Sofgen employs about 450 personnel and has more than 20 tier I client relationships. Delivering solutions ''in and around'' core banking the company has the second largest pool of Avaloq consultants in the world and is Temenos' most prolific partner.