Coforge Buys Encora at $2.35 Billion EV in All-Stock Deal (1)

Indian technology services provider Coforge Ltd. agreed to buy Encora at an enterprise value of $2.35 billion in an all-stock deal, adding artificial intelligence, data and product engineering expertise.

Encora’s shareholders, including Advent International and Warburg Pincus, will get about 20% stake in Coforge through a share swap. Coforge will issue 93.8 million shares at 1,815.91 rupees each to shareholders of Encora at equity value of $1.89 billion. The deal is expected to close in six months.

The technology firm wants to reshape its services portfolio with the acquisition of the US-based digital engineering company. The transaction, when final, will ...