Zensar Technologies to acquire Keystone Logic

Pune based IT services firm Zensar Technologies would acquire Bangalore based retail technology provider Keystone Logic Solutions and its US subsidiary for Rs 132.4 crore. Zensar, the IT services arm of RPG Group, aims to strengthen its technology solutions to global retail and consumer brands using keystone expertise on omni channel retail order and warehouse management.

The Pune based mid-size software services firm believes this acquisition will help in the overall digital transformation of its clients. Currently, a fourth of Zensar revenue comes from retail and consumer segment. Keystone has built a lot of in-house capabilities in digital technology towards omni channel solutions for retail and consumer clients. This deal will play an important role also because their services do not overlap with Zensar current offerings.

The company is focusing on becoming more digitally relevant with acquisitions in new technology areas as clients are reducing their investments towards traditional technology. This is the second acquisition by the company this fiscal after it bought UK based Foolproof, which provides design and consulting services for customer experience. 

Zensar Technologies acquires Foolproof

Zensar Technologies Ltd, part of the RP Goenka Group, had agreed to buy user experience (UX) design agency Foolproof Ltd. London-based Foolproof helps global brands design products based on an understanding of consumer behavior.

Founded in 2002, Foolproof has around 100 employees in its offices in Norwich, Singapore and London. The acquisition gives Zensar access to Foolproof’s clientele across sectors such as banking and financial services, retail, high technology and oil and gas. Foolproof’s market leadership in experience design and the strong management team at its helm are strategic to Zensar’s plan to increase market share in this increasingly important space.

The acquisition will fortify Zensar’s digital offerings and furthers the company’s ability to work with chief marketing officers and chief digital officers to improve outcomes for their customers and to drive innovation through design. Foolproof will operate under its own brand name and will continue to be managed by founders peter Ballard and Tom Wood.

Headquartered in Pune, IT services company Zensar caters to global clients in the manufacturing, retail and hi-tech businesses. The firm employs more than 8,000 people at 29 locations around the globe. For the financial year 2015-16, Zensar reported revenue of Rs 1,245.9 crore, up from Rs 1,079.9 crore in the previous year, and a profit of Rs 234.2 crore, up from Rs 183.1 crore.