Persistent Systems Secures 83.25% of Nagarro

Persistent Systems Ltd. has secured an aggregate 83.25% stake in Germany-based Nagarro SE through its voluntary public takeover offer. The company's wholly owned subsidiary, Galaxy Germany Holding SE, received tenders for 7,568,145 Nagarro shares, representing approximately 61.15% of the company's outstanding share capital during the initial acceptance period. Persistent had already secured an additional 22.10% stake in Nagarro under a share purchase agreement with Lantano Beteiligungen GmbH. The combined holding of 83.25% exceeds the minimum acceptance threshold of 50% plus one share required for the takeover offer to proceed. An additional acceptance period will run from September 23 to October 6, 2026. Nagarro shareholders who have not yet tendered their shares can accept the offer at €81 per share in cash during this period. Persistent has also stated that it intends to pursue the delisting of Nagarro shares from the Prime Standard of the Frankfurt Stock Exchange, subject to applicable legal and regulatory requirements. The transaction is currently expected to close by the end of Q1 CY2027. My View: The transaction marks a significant step in Persistent's expansion through the acquisition of Nagarro. The eventual impact on Persistent will depend on the completion of the transaction and how effectively the two businesses are integrated.