Coforge to acquire US-based Encora in $2.35-bn all-stock deal, board approves $550-mn fundraise

Coforge to acquire US-based Encora in $2.35-bn all-stock deal, board approves $550-mn fundraise

The acquisition will be executed through a share swap, under which Coforge will issue 93.8 million equity shares at Rs 1,815.91 apiece, implying a non-cash consideration of about Rs 17,032 crore. Encora shareholders will hold about 21.25 percent of Coforge’s post-issue equity capital. "Coforge's acquisition of Encora will create a $2.5 billion Tech Services powerhouse with both the scale and capability across AI-led engineering, Cloud, and Data services to drive enterprise-grade AI-solutions," a release by the company read after it concluded its board meeting. Earlier, Moneycontrol exclusively reported that Coforge is in advanced discussions to acquire Encora, potentially marking one of the largest transactions in the digital engineering space, citing sources. All this is for information. This is not a buy/sell recommendation. Thank you, Technofunda24