Persistent Systems Acquires Stake in Concise Systems to Bolster Nearshore Presence in Eastern Europe
Persistent Systems Limited's step-down subsidiary, PerSys Estonia OÜ, has entered into a Business Purchase Agreement with M/s. Concise Systems OÜ (Concise) for the acquisition of a segment of Concise's operations. The agreement, executed on May 28, 2026, marks a strategic move aimed at consolidating key customer relationships and expanding Persistent’s delivery capabilities in Eastern Europe.The acquired business operates within the IT services and IT enabled services sector. The transaction involves acquiring purchased assets, assumed liabilities, and a select group of employees and contractors, collectively referred to as the 'Business.' The annual revenue generated by this Business is estimated to be EUR 11.6M.
Transaction Details and Financial Consideration
The total purchase consideration for acquiring the Business has been determined at EUR 5.6M. This financial commitment includes a deferred payment component of EUR 1.5M, which will be paid over a period of two years.Key financial and transactional details are outlined below:
| Parameter | Detail |
|---|---|
| Acquiring Entity | PerSys Estonia OÜ (step-down subsidiary of Persistent Systems Limited) |
| Target Entity | M/s. Concise Systems OÜ |
| Agreement Date | May 28, 2026 |
| Total Consideration | EUR 5.6M |
| Deferred Payment | EUR 1.5M over 2 years |
| Estimated Annual Revenue | EUR 11.6M |
Strategic Rationale
According to the company, the acquisition is strategically motivated to consolidate its relationship with a key strategic customer. Persistent Systems Limited is currently the primary service provider to this customer, and the acquired Business is already structured as a sub-contract arrangement through Persistent. The acquisition aims to de-risk the long-term delivery relationship with the customer while also opening new avenues for partnership between the customer and Persistent.The company confirmed that the transaction is not considered a related party transaction, and neither the Promoters nor the Promoter Group of Persistent group entities hold an interest in the entity being acquired.
Persistent Systems Limited anticipates that the acquisition of the Business will be completed within a period of 4 to 8 weeks, subject to the satisfaction of customary closing conditions.
PERSISTENT Stock Price Movement
On Wednesday, shares of Persistent Systems Limited slipped by 0.19% to close at ₹5098.4, marking a drop of ₹9.80 from the previous day's close. The stock traded with a total volume of 206,977 shares during the session.Disclaimer: Due care and diligence have been taken in compiling and presenting news and market-related content. However, errors or omissions may arise despite such efforts.
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