DXC Technology is going to take over software company Luxoft for about 2 billion dollars, reports ZDNet. The acquisition should accelerate DXC’s digital growth and scaling strategy and broaden access to digital talent. Luxoft now has almost 13,000 employees.

According to the deal, $59 is paid for every Luxoft Class A and Class B share. Luxoft was founded in Russia and has its headquarters in Zug, Switzerland. The company provides consulting on digital strategies and engineering services for companies in North America, Europe and Asia. The company works on analytics, UX/UI, the Internet of Things and blockchain. In addition, it has hands in outsourced engineering services, cloud and DevOps.

DXC states that Luxoft has generated 911 million dollars in revenue over the past 12 months. “Luxoft and DXC complement each other well and our shared vision of digital transformation makes this strategic combination fit for both organizations as well as tremendously valuable for our customers,” said Mike Lawrie, president and CEO of DXC Technology.

Luxoft has clients in various industries, including automotive and financial services. In all likelihood, DXC will focus on the financial services, healthcare and automotive sectors after the acquisition. This is supported by new offers planned by DXC.

Takeover

Luxoft gets the addition “A DXC Technology Company” to his name. After the takeover, the company is still led by the current president and CEO Dmitry Loschinin, who reports back to Lawrie. The agreement is expected to be finalised in June this year. First, shareholders who together hold 83 percent of Luxoft have to vote on the deal. In addition, the deal still has to be approved by the authorities.

DXC Technology was founded in April 2017 after the merger of Computer Sciences Corp and the Enterprise Services department of Hewlett Packard Enterprise. The company now has almost 6,000 customers in over 70 countries.

This news article was automatically translated from Dutch to give Techzine.eu a head start. All news articles after September 1, 2019 are written in native English and NOT translated. All our background stories are written in native English as well. For more information read our launch article.