Cognizant has acquired privately-held KBACE Technologies, a consulting and technology services company specialised in Oracle strategy, implementation and integration. As part of the deal, approximately 400 KBACE consultants and implementation experts will join Cognizant in the US and India.
Founded in 1998, KBACE Technologies is an IT consulting firm that specialises in Oracle products and solutions, across Oracle E-Business Suite, Fusion Applications and Fusion Middleware. The Nashua, New Hampshire-based firm’s functional expertise spans Human Capital Management, Financials, Projects, Manufacturing, Supply Chain, and Customer Relationship Management.
Yesterday the board of directors of KBACE Technologies unveiled that it has been bought by Cognizant, with approximately 220,000 employees one of the largest IT consultancies of the globe. As part of the acquisition, approximately 400 KBACE consultants and implementation experts across industry and business functions will be integrated into Cognizant’s business. The move will according to the partners significantly boost Cognizant’s Oracle portfolio, with a particular focus on cloud, as well as unlock new cross-selling opportunities and lower operational costs.
“The addition of KBACE technologies and expertise in delivering SaaS digital solutions accelerates Cognizant's cloud strategy and consulting services, provides our clients with access to significant platform expertise and puts us at the forefront of Oracle Cloud partners and technology consultants worldwide,” says Allen Shaheen, Executive Vice President at Cognizant.
Mike Peterson, one of the four co-founders* and Chief Operating Officer of KBACE, says that joining forces with Cognizant will provide his firm the “experience, strategic thinking and resources to grow” its cloud practice and further strengthen its relationship with Oracle.
M&A in cloud segment
The cloud consulting segment has on the back of strong growth in the market seen high M&A activity of late. Earlier this month Accenture acquired CRMWaypoint in the Netherlands, while rival Capgemini purchased oinio, a Germany based Salesforce Partner. Mercer, one of the globe’s largest HR consultancies, picked up CPSG Partners, adding 200 Workday experts to its ERP and cloud offering.
In the UK, the number of cloud-based consulting deals have more than doubled since 2012.
* KBACE Technologies was founded by Edward Lazzari II, Mike Peterson, Ravi Mamgain and Darla Cauley.