Sonata Software shares on Thursday bounced back from the two-day losing streak and jumped over 6% to reach Thursday’s intraday high of ₹738 as it announced the acquisition of Texas-based IT firm Quant Systems.
What Happened: The software solutions company on Thursday informed that its wholly owned subsidiary Sonata Software North America signed a definitive agreement to purchase Quant Systems.
The company expects to complete the acquisition in the next 30 days. The company informed that it has made an upfront payment of $65 Million or around ₹537.97 crore. It also added that a deferred achievement-based earn-out/ pay-outs up to a maximum of US $95 or around ₹786.31 crore will be
payable over 2 years. Certain additional payments on achievement of additional targets will also be made, the company said in a regulatory filing.
The company said that the acquisition is in line with its strategy “to accelerate the growth curve and build scale.” The company expects the acquisition to help accelerate its “capabilities in Enterprise Data Analytics, Cloud modernization, Cybersecurity, Salesforce, Data Privacy, Adobe, and Digital & Mobile App solutions.”
Commenting on the acquisition the company’s CEO and MD Samir Dhir said “Quant Systems aligns to our strategic drivers and will enable us to win larger deals in our focus-verticals and adds two large clients to our top 5 clients list.”
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Price Action: Shares of Sonata Software traded 3.80% higher at ₹716.40 in the early hours of trading on Thursday.
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