Tech Mahindra acquires BORN Group to bolster creative capacity
Indian IT services firm Tech Mahindra has made a big move to expand its scope and business, acquiring New-York-based digital transformation and branding consultancy BORN Group. The acquisition, completed through an entirely cash-based transaction, is valued at $95 million.
BORN is based in New York and has operations across the world, with bureaus in London, Hong Kong, Singapore and India. The firm employs more than 1,000 people, all of whom contribute to the firm’s creative brand transformation capabilities.
Grounded in the creative domain, BORN supports its international clientele with reinventing themselves using digital avenues. Since its establishment in 2001, the firm’s broad suite of services has evolved into ten specific service areas.
These services include: creative design, content production, commerce enablement, conversions, cloud technology, cognitive services and marketing consulting. The firm’s expertise in these areas has won it a number of illustrious clients, including the likes of Google, Tata, Red Bull and TAG Heuer.
Tech Mahindra will now look to benefit from BORN's track record. The Indian-origin firm is a global IT services company, supporting the digital revolution that has hit the business environment in India and across the globe. In BORN, the firm has found a creative outlet to help adapt to evolving client needs.
Many Indian businesses are looking to rebuild themselves in the digital sphere, and the mixture of Tech Mahindra’s technological prowess and BORN’s creative capabilities is expected to deliver a broader, as well as more integrated offering for clients.
The deal adds some $50 million in revenues to Tech Mahindra's financials. In the two years previous, BORN recorded revenues of $39 million and $36 million respectively.
Commenting on the deal, Head of Corporate Development & Portfolio Companies at Tech Mahindra Vivek Agarwal said, “Digital continues to be the central theme of our acquisition strategy at Tech Mahindra. The acquisition of BORN Group will assert our leadership in the rapidly growing electronic and mobile commerce segment globally, and equip us to deliver enhanced user experience to our customers globally.”
Earlier this year, Tech Mahindra acquired DynaCommerce, a Netherlands-based (connected) customer experience player. Previous deals include that of BIO Agency in the UK and Pininfarina in Italy.
