Persistent Systems shares drop 11% after Nagarro acquisition
pre-market1 source ↓written by the desknot a recommendation
- to ₹4
- 11.3%
- acquisition of Nagarro
- $1.3 billion
- combined revenue
- $2.9 billion
- up 17 YoY
- $1.65 billion
- growth 2.8
- $999 million
Persistent Systems shares fell 11.3% to ₹4,292, marking a two-year low after announcing its $1.3 billion acquisition of Nagarro. This deal positions Persistent as India's seventh-largest IT services firm with a combined revenue of $2.9 billion. Brokerages raised concerns over Nagarro's growth and integration challenges.
• Persistent revenue: $1.65 billion (up 17% YoY)
• Nagarro revenue: $999 million (growth 2.8%)
• Nagarro operating margin: 10.9% vs. Persistent's 15.6%.
Not investment advice. For informational purposes only.