· Signed a definitive agreement to acquire TekLink International, Inc., to strengthen HGS’ analytics practice and expand platform & data visualization capabilities
· Signed a non-binding Letter of Intent to acquire uKnowva, aCloud-based HRMS business to expand its HR Platform technology portfolio
Mumbai, India, December 8, 2022: In line with its ongoing evolution into a digital-led, people-driven customer experience (CX) services provider, Hinduja Global Solutions Limited (HGS) (Listed on NSE & BSE, India), continues to make significant investments to expand its digital capabilities.
The company today announced two M&A developments to support its transformation journey as HGS 2.0.
1. HGS has entered into a definitive agreement to acquire a 100% stake in TekLink International, Inc., for a consideration of US$ 58.8 million, subject to earnouts and other customary and agreed adjustments. The transaction with the analytics service provider is expected to close in the next two months.
2. HGS has signed a non-binding Letter of Intent (LoI) to acquire uKnowva, a digital Human Resources Management System (HRMS) product business, from Convergence IT Services Ltd, subject to necessary diligence and approvals. uKnowva is a Cloud-based SaaS platform that is easy to use, cost effective and leverages intelligent software to deliver human capital management, automation, and collaboration for midsize and growing companies.
“HGS has been investing significantly in developing technology-led capabilities to reimagine the CX journey for our clients in an increasingly digital first world. TekLink and uKnowva with their transformative solutions in the analytics & financial planning and HR technology segments, respectively, are a good strategic fit for us. The synergies will help us strengthen our existing digital portfolio substantially, expand in new rapidly growing segments, co-create solutions, and cross-sell to clients,” said Partha DeSarkar, Group CEO, HGS. “We continue to build an end-to-end ecosystem of innovative solutions that support every touchpoint in the consumer journey.”
TekLink International Inc., is a full-service financial planning and analytics service provider, including design, implementation, and application management services. TekLink has built technical and functional expertise across multiple industries, including consumer products, retail, pharmaceuticals, manufacturing & distribution, utilities, and high tech. The company supports over 60 clients, including one of the world’s leading food manufacturers, an American multinational confectionery, a global beverages giant, etc. TekLink is headquartered in Warrenville, IL, US, with presence in Europe and delivery centers in Hyderabad and Indore in India. The company has strong credentials in the industry, with established partnerships with Microsoft, SAP, Anaplan, etc. TekLink has recently been named a 2022 Gartner® Peer Insights™ Customers’ Choice for Data & Analytics Service Providers.
The acquisition will strengthen HGS’ digital solutions business by adding enhanced expertise in building data platforms, analytics, and financial planning. It will also add complementary digital workforce bench strength, with 275 seasoned technology and implementation professionals joining HGS as part of the transaction. HGS’ digital business currently employs over 750 core technology and digital marketing experts, primarily across the US and India, who are transforming customer experiences (CX) for leading brands.
“We are excited to become part of the HGS family to complement their already established digital customer engagement, digital experience, intelligent automation, and cloud & security portfolio with our world-class data platform and analytics solutions and services,” said Pankaj Gupta, Founder and CEO, TekLink. “Together, our mutual clients will benefit from best-in-class, end-to-end digital transformation.”
uKnowva business has 75+ employees in India supporting over 300,000 users across 80+ clients. The acquisition of uKnowva, when approved and completed, will create technology synergies with HGS’ existing HRO/ Payroll and F&A business, that supports several hundred clients with mainly HR operations related activities in India and the Middle East today. uKnowva was recently recognized as the ‘Entrepreneurial Company of the Year in AI for HR Tech’ by Frost and Sullivan.
Buyback Update: HGS’ audited financial statements for the six-month period ended September 30, 2022 are under preparation currently. Subject to the completion of the audit, the Board is expected to meet in the week of December 19, 2022 to finalize the terms of the proposed Buyback.
