Indian IT-services giant Infosys has recently acquired Panaya, an American software as a service (SaaS) specialist.
With revenues of over $8.25 billion and 165,000+ employees, Infosys is one of the globe’s largest IT-services and outsourcing companies. Founded in 2006 by entrepreneur Yossi Cohen, originally as ChangeSoft Technologies, Panaya has since grown to one of the larger global providers of cloud-based quality management services for enterprise applications, such as SAP and Oracle. According to the firm, more than 1,200 companies in 62 countries, including a third of the Fortune 500, use the Panaya’s signature software solution, named Panaya CloudQuality Suite.
Last month, Infosys unveiled that it had acquired Panaya for an enterprise value of $200 million, paid in cash. For the Indian-based giant, it is the second largest acquisition since it purchased Swiss-based consulting company Lodestone in 2012 for around $350 million. With the move, CEO Vishal Sikka is betting big on automation, design thinking, cloud and artificial intelligence, services offerings which form a key part of Panaya’s portfolio.
“The acquisition of Panaya is a key step in renewing and differentiating our service lines. This will help amplify the potential of our people, freeing us from the drudgery of many repetitive tasks, so we may focus more on the important, strategic challenges faced by our clients. At the same time, Panaya’s proven technology helps dramatically simplify the costs and complexities faced by businesses in managing their enterprise application landscapes”, comments Sikka.
The CloudQuality suite of Panaya will allow Infosys to bring automation to several of its service lines through agile software as a service (SaaS) model, and helps mitigate risk, reduce costs and shorten time to market for clients. Doron Gerstel, CEO of Panaya, adds: “We are excited about leveraging Infosys’ global reach, service footprint and broad customer base to deliver compelling, simplifying, value to clients. I am confident this integrated proposition will uniquely position Infosys as the services leader in the enterprise application services market.”