DXC Technology is to acquire global technology services firm Luxoft in a deal the company says will expand its digital offerings portfolio and help accelerate overall growth for the combined business.
Set to be completed by June 2019, the deal will broaden DXC's presence in high-growth verticals, enhance access to global engineering talent, as well as generally strengthen the company's overall digital value proposition.
Luxoft delivers digital strategy consulting and engineering services for businesses across North America, Europe and the Asia Pacific region, offering differentiated digital capabilities in areas such as analytics, UX/UI, IoT, blockchain – as well as outsourced engineering services, cloud and devops.
The combined company will offer a differentiated customer value proposition for end-to-end digital transformation thanks to the combination of Luxoft's digital engineering capabilities and DXC's IT modernisation and integration expertise.
"Luxoft and DXC are highly complementary, and our shared vision of digital transformation makes this strategic combination a great fit for both organisations – as well as enormously beneficial for our clients," said Mike Lawrie, chairman, president and CEO at DXC Technology. "Luxoft has a proven track record and expertise in producing measurable business outcomes at-scale for global clients across key industries, including automotive and financial services.
"The addition of Luxoft accelerates DXC's growth strategy as we equip the company to meet the digital requirements of our clients today and in the future."
Currently, Luxoft boasts a highly-skilled workforce of almost 13,000 people and serves marquee clients across every region. In the automotive space, Luxoft plus DXC will serve more than 20 manufacturers and OEMs in North America, Europe and Asia Pacific, while the combined business will also serve half of the top financial institutions in the Americas and Europe.
The firm confirmed it will maintain its brand upon completion of the transaction, operating as "A DXC Technology Company" under the continued stewardship of president and CEO Dmitry Loschinin.
"Aligning with DXC presents an exciting opportunity to unlock new value for our people, clients and partners," Loschinin said. "We will gain the scale, resources and market presence to better serve and compete, and to more rapidly realize our vision.
"As part of DXC, we will preserve Luxoft's differentiated capabilities and culture while driving growth for the combined company."
