Persistent Systems announced on Thursday that it was acquiring New Jersey-based Data Glove for $90.50 million. Persistent would be acquiring assets of Data Glove, USA along with assets of its Indian subsidiary and entities based out of Australia, UK, Canada and Singapore. Additionally, Persistent Systems Germany GmbH will acquire Data Glove’s subsidiary in Costa Rica.
There will be an upfront payment of $50.69 million and another $34.88 million over next two years on achievement of performance thresholds. Key employees would be given retention and performance-based payment of $ 4.93 million over next three years.
The Data Glove Group specialises in providing services across the entire Microsoft Product Suite including Azure based digital transformation, data modernisation, cloud advisory services, business application innovation and intelligent automation. Data Glove Group had a consolidated revenue of $48.96 million for the year ended December 31, 2021 with 700 employees worldwide. The acquisition would be completed within four to five weeks, Persistent said.
Sandeep Kalra, chief executive officer and executive director, Persistent Systems said as clients continue their digital acceleration, cloud modernisation and workforce productivity remain as critical to sustaining competitive advantage and reducing costs. “With the acquisition of Data Glove, we are forming a new Microsoft business unit to enhance our partnership and expand our expertise in Azure-based digital transformation, enabling us to capture a larger share of this high growth market. This acquisition also broadens our delivery capabilities with highly skilled talent, establishing a new nearshore delivery center in Costa Rica and expanding our presence in the US and India,” Kalra said.
Financial Express is now on Telegram. 
