Accenture has entered into an agreement to acquire Navisite, a digital transformation and managed services provider. The addition of Navisite will bolster and scale Accenture’s application and infrastructure managed services capabilities to help clients across North America modernize their IT for the AI era. The terms of the acquisition from private equity investment firm Madison Dearborn Partners were not disclosed.
CIO INFLUENCE News: D-Wave Showcases Advantage QPU’s Ability to Improve Cellphone Network Transmission
“Most enterprise IT environments are not ready for the demands of the AI era”
Based in Andover, MA, Navisite’s team of approximately 1,500 people will join Accenture’s Infrastructure Engineering practice dedicated to helping clients accelerate their cloud transformations and build a strong digital core. With more than 400 cloud engineers, who hold more than 2,000 certifications, Navisite has deep experience across multiple cloud providers, enterprise applications and digital technologies, serving clients in sectors like technology, business services, healthcare, life sciences and manufacturing.
“Our clients feel a sense of urgency to modernize their enterprise and they continue to call on Accenture for help in critical areas where we excel,” said Manish Sharma, CEO of Accenture North America. “With skills steeped in cloud, infrastructure and application services, Navisite’s talented team expands our ability to help clients embrace new technologies and ways of working, to unlock the next-level of business reinvention.”
“Most enterprise IT environments are not ready for the demands of the AI era,” said Karthik Narain, group chief executive, Accenture Technology. “Adding Navisite means we can more quickly help clients ‘run to the new’—modernizing at speed while they operate efficiently, through Accenture’s innovation-focused managed services.”
“Through the hard work and dedication of our teams, we have been a trusted digital transformation partner for growing and established global brands. Accenture is the ideal partner for Navisite’s next chapter as we expand and enhance our client service offering to drive our growth, while creating exciting new opportunities for our people,” said Mark Clayman, Chief Executive Officer of Navisite. “Together with Accenture, we will be well-positioned to scale our services and deliver practical guidance for clients seeking to modernize and build more agile, resilient, and expanding businesses.”
CIO INFLUENCE News: Webscale Acquires Section.io to Launch CloudFlow
This acquisition is subject to customary closing conditions.
Forward-Looking Statements
Except for the historical information and discussions contained herein, statements in this news release may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as “may,” “will,” “should,” “likely,” “anticipates,” “aspires,” “expects,” “intends,” “plans,” “projects,” “believes,” “estimates,” “positioned,” “outlook,” “goal,” “target” and similar expressions are used to identify these forward-looking statements. These statements are not guarantees of future performance nor promises that goals or targets will be met, and involve a number of risks, uncertainties and other factors that are difficult to predict and could cause actual results to differ materially from those expressed or implied. These risks include, without limitation, risks that: Accenture and Navisite will not be able to close the transaction in the time period anticipated, or at all, which is dependent on the parties’ ability to satisfy certain closing conditions; the transaction might not achieve the anticipated benefits for Accenture; Accenture’s results of operations have been, and may in the future be, adversely affected by volatile, negative or uncertain economic and political conditions and the effects of these conditions on the company’s clients’ businesses and levels of business activity; Accenture’s business depends on generating and maintaining client demand for the company’s services and solutions including through the adaptation and expansion of its services and solutions in response to ongoing changes in technology and offerings, and a significant reduction in such demand or an inability to respond to the evolving technological environment could materially affect the company’s results of operations; if Accenture is unable to match people and their skills with client demand around the world and attract and retain professionals with strong leadership skills, the company’s business, the utilization rate of the company’s professionals and the company’s results of operations may be materially adversely affected; Accenture faces legal, reputational and financial risks from any failure to protect client and/or company data from security incidents or cyberattacks; the markets in which Accenture operates are highly competitive, and Accenture might not be able to compete effectively; Accenture’s ability to attract and retain business and employees may depend on its reputation in the marketplace; if Accenture does not successfully manage and develop its relationships with key ecosystem partners or fails to anticipate and establish new alliances in new technologies, the company’s results of operations could be adversely affected; Accenture’s profitability could materially suffer if the company is unable to obtain favorable pricing for its services and solutions, if the company is unable to remain competitive, if its cost-management strategies are unsuccessful or if it experiences delivery inefficiencies or fail to satisfy certain agreed-upon targets or specific service levels; changes in Accenture’s level of taxes, as well as audits, investigations and tax proceedings, or changes in tax laws or in their interpretation or enforcement, could have a material adverse effect on the company’s effective tax rate, results of operations, cash flows and financial condition; Accenture’s results of operations could be materially adversely affected by fluctuations in foreign currency exchange rates; changes to accounting standards or in the estimates and assumptions Accenture makes in connection with the preparation of its consolidated financial statements could adversely affect its financial results; as a result of Accenture’s geographically diverse operations and strategy to continue to grow in key markets around the world, the company is more susceptible to certain risks; if Accenture is unable to manage the organizational challenges associated with its size, the company might be unable to achieve its business objectives; Accenture might not be successful at acquiring, investing in or integrating businesses, entering into joint ventures or divesting businesses; Accenture’s business could be materially adversely affected if the company incurs legal liability; Accenture’s global operations expose the company to numerous and sometimes conflicting legal and regulatory requirements; Accenture’s work with government clients exposes the company to additional risks inherent in the government contracting environment; if Accenture is unable to protect or enforce its intellectual property rights or if Accenture’s services or solutions infringe upon the intellectual property rights of others or the company loses its ability to utilize the intellectual property of others, its business could be adversely affected; Accenture may be subject to criticism and negative publicity related to its incorporation in Ireland; as well as the risks, uncertainties and other factors discussed under the “Risk Factors” heading in Accenture plc’s most recent Annual Report on Form 10-K and other documents filed with or furnished to the Securities and Exchange Commission. Statements in this news release speak only as of the date they were made, and Accenture undertakes no duty to update any forward-looking statements made in this news release or to conform such statements to actual results or changes in Accenture’s expectations.
[To share your insights with us, please write to sghosh@martechseries.com]
