Persistent Systems to Acquire Nagarro for €1.1 Billion

Persistent Systems, based in Pune, India, has initiated a public takeover offer for Nagarro SE, a Munich-based digital engineering firm. This acquisition is valued at €1.1 billion, approximately ₹11,820 crore, with a cash offer of €81 per share. This strategic move follows the signing of a Business Combination Agreement between the two firms.

Nagarro operates in various sectors, employing around 18,500 people across 40 countries. The company reported a total revenue of €1 billion for the calendar year 2025. Persistent Systems aims to create a vast, AI-driven digital engineering powerhouse by merging with Nagarro, enhancing its presence in North America and Europe while expanding its global footprint.

Anand Deshpande, Founder, Chairman, and Managing Director of Persistent Systems, emphasised the potential of artificial intelligence in shaping the industry. He stated, "Success will belong to companies that combine deep technical capability with global reach, while continuing to attract, develop and inspire exceptional people." This sentiment reflects the growing trend of AI's influence in the technology sector.

Accompanying this vision, Sandeep Kalra, Executive Director, and Chief Executive Officer of Persistent Systems, highlighted the importance of the merger in addressing the next wave of enterprise transformation. He said, "Bringing Nagarro and Persistent together is a defining milestone in our journey to build a global, engineering-led technology services leader."

The combined entity is anticipated to form a $2.9 billion AI-led engineering corporation, employing over 46,000 individuals across more than 40 countries. The merger aims to support multi-region enterprise clients, offering integrated solutions in artificial intelligence, engineering, data management, and cloud capabilities.

As both companies prepare to integrate, the acquisition is poised to create a more robust platform for leveraging digital engineering expertise on a global scale. The decision to merge aligns with ongoing trends in the technology sector, wherein large firms seek to enhance their offerings through acquisition and consolidation in an increasingly competitive landscape.

Overall, this acquisition signals a significant evolution in both Persistent Systems and Nagarro's trajectory, positioning them to navigate the rapidly changing demands of digital transformation in industries worldwide.