IT major Cognizant entered into a definitive agreement to acquire Softvision, a privately-held digital engineering and consulting company focused on agile development of innovative software solutions and platforms. The transaction is expected to close in the fourth quarter of 2018 subject to the satisfaction of the closing conditions, including regulatory review. Even though terms of the deal were not being disclosed, last week, news agency Reuters had reported that Cognizant was in talks to buy private equity-owned Softvision for $550 million.
Softvision develops custom digital products using unique collaborative engineering methods.Founded more than 20 years ago in Silicon Valley, Austin, Texas-based Softvision works with Fortune 500 clients in financial services, retail, consumer products, healthcare and other industries.Softvision’s agile delivery teams, called pods, combine a global network of design, technical and engineering experts, working collaboratively in studios, to help clients create digital consumer products and scalable digital platforms. With a significant presence in the digital engineering hub of Romania, Softvision’s network includes over 2,850 creative technologists. Cognizant plans to continue use of the Softvision brand following the acquisition.
he combination of capabilities from Softvision and Cognizant creates one of the top digital engineering companies in the world and a leader in software product development, helping clients innovate at speed and execute at scale.
“By joining forces with Cognizant, we can combine our unique engineering, design and digital product development approach with Cognizant’s scale and digital expertise in areas like artificial intelligence, virtual reality, IoT, human science and others to provide even more innovative solutions and impactful experiences,” said, Andres Angelani, Softvision’s CEO.
“This is an exciting next step in our evolution started 20 years ago in Romania servicing cutting-edge technology companies and scaling to work with the world’s top brands,” said Softvision Founder and CTO Laurentiu Russo.
“Innovation and speed to market are paramount for our clients,” said Gajen Kandiah, President, Cognizant Digital Business. “Softvision’s unique culture, talented people, and agile model of small, multi-disciplinary client teams, fits well with Cognizant’s collaborative approach of innovating with clients to tackle complex, mission-critical business initiatives.”
Kandiah, added, “Extending Softvision’s approach to digital engineering, integrated cross-functional teams, agile culture, and talent development across our own teams is a key element of our strategy. This synergy, together with Cognizant’s deep technology and industry expertise, will enable us to deliver custom cloud-based software and platforms better and faster, helping more clients transform their businesses to become digital leaders.”