At 10:50 am today, the shares of Coforge Limited were trading at ₹7,856.10, marking an increase of ₹643.70 or 8.92% on the NSE.
Coforge Limited has recently made strategic moves to enhance its technology service offerings by announcing the acquisition of two companies: Rythmos Inc. in the United States and TMLabs Pty Ltd in Australia. The acquisition of Rythmos involves an upfront cash payment of $30 million, with potential additional earnouts of up to $18.7 million based on future performance targets for 2025 and 2026. On the other hand, the TMLabs acquisition, priced at AUD 20 million upfront, aims to bolster Coforge’s ServiceNow implementation capabilities, specifically in integrated risk management, healthcare, and HR service delivery. The Australian government has already approved the TMLabs acquisition.
Both acquisitions are expected to be finalized by March 31, 2025, aligning with Coforge’s strategic goals of expanding its industry-specific technology services and geographical reach. Rythmos brings expertise in data capabilities and the airline industry, while TMLabs enhances Coforge’s specialized ServiceNow implementation services.
The news of these strategic acquisitions has positively impacted Coforge’s stock performance, indicating investor confidence in the company’s growth strategy.
(Source: The Hindu Business Line)