Persistent Systems to Acquire Nagarro for EUR ~1.27B, Creating AI-led Digital Engineering Leader
Persistent Systems will acquire Nagarro for EUR ~1.27B, creating an AI-led digital engineering powerhouse with over 46,000 employees and ~$2.9B revenue. The offer price is EUR 81 per share, a 140% premium. Expected to close Q4 CY26/Q1 CY27, the deal aims to boost European presence and is projected to be EPS accretive.
The acquisition represents a major strategic move that will significantly alter the company's scale, geographic footprint, service offerings, and competitive positioning in the digital engineering space.
The acquisition of Nagarro at a significant premium, creating a larger, more diversified entity with enhanced capabilities and a stronger European presence, is a positive development for Persistent Systems.
Persistent Systems Limited announced its agreement to acquire 100% of Nagarro for an Enterprise Value of approximately EUR 1.27 billion. This strategic move aims to create a global leader in AI-led digital engineering, combining Persistent's strengths with Nagarro's complementary capabilities.
The acquisition involves a voluntary public takeover offer for all outstanding Nagarro shares at EUR 81 per share in cash, representing a premium of approximately 140% to the undisturbed closing price on June 25, 2026. Persistent has already secured a 21% stake in Nagarro via a share purchase agreement, and the Management Board of Nagarro has expressed intent to tender their shares. Both Nagarro's Boards fully support the transaction and have signed a Business Combination Agreement.
The combined entity, to be named Persistent-Nagarro Group, will have over 46,000 employees across 40+ countries and an estimated run-rate revenue of approximately USD 2.9 billion. This union is expected to significantly enhance the company's scale, particularly in Europe, increasing its pro-forma revenue contribution from Europe to around 22% from approximately 9%. Persistent Systems reported FY26 revenue of USD 1.7 billion, with a 12.6% EBIT margin, while Nagarro reported TTM Mar'26 revenue of EUR 1,001 million ($1,141.1 million) with a TTM Mar'26 Adj. EBITDA margin of 13.9%.
The transaction is expected to be cash EPS accretive in the first year and is anticipated to close in Q4 CY26 or Q1 CY27. Financing for the acquisition will be provided through a committed bridge financing facility of EUR 1.4 billion from Barclays. The company has also provided guidance for CY26, with an expected growth of 3.1% and an Adjusted EBITDA margin of 15.0%.
What to do with a filing like this
Persistent Systems Limited filed this with the NSE as a statutory disclosure, categorised under acquisition. It is a primary document, not a recommendation, and the desk marks it high impact, which is the band that most often changes something.
That call is the part a filing cannot make for you. On RealCase, SEBI-registered research analysts and investment advisers read announcements like this one and turn the ones that matter into actions inside their model portfolios: a change in weight, a hold, or nothing at all. You are not left working out which of the roughly 250 filings published each day needs a response. The portfolio you follow is updated when a filing actually warrants it, with the reason written down.
See the model portfoliosA plain-language summary of a public exchange filing by Persistent Systems Limited. Read the original for the full detail.