Wipro acquires US-based Applied Value Technologies for $40M
Wipro's acquisition of US-headquartered Applied Value Technologies is expected to strengthen the IT firm's existing capabilities in the application services domain.
IT services provider Wipro on Monday said it acquired US-headquartered Applied Value Technologies (AVT) for an enterprise value of $40 million.
In a communication to the stock exchanges, Wipro said, “AVT will augment Wipro’s existing application services capabilities, helping drive new growth opportunities.”
Founded in 2021, ATV and its subsidiaries provide enterprise application development and support services. It registered a revenue of $19.4 million for calendar year 2023.
The purchase price also includes deferred considerations in the form of an earnout, payable subject to achievement of certain performance metrics/conditions. The entire purchase is expected to be completed by December 31, 2024.
Wipro has been the most active among the Indian IT services companies in acquisitions. This year alone, it picked up a 27% stake in SDVerse—an automotive software marketplace platform—along with General Motors and Magna for $5.85 million. It also acquired a 60% stake in Aggne Global, a US-based insurance technology company, for $66 million.
Previously in 2021, the IT firm acquired Capco, a global management and technology consultancy company, for an enterprise value of $1.45 billion. This acquisition brought over 5,000 business and technology consultants spread across 30 locations.
Edited by Suman Singh