The deal, expected to close in the next two months, will see about 150 people joining Mindtree.
IT firm Mindtree on Monday said it will acquire Salesforce consulting partner Magnet 360 in an all-cash deal of $50 million (nearly Rs 338.5 crore). The deal, expected to close in the next two months, will see about 150 people joining Mindtree.
"Magnet 360 brings strong expertise across Salesforce Sales, Service and Marketing Cloud implementations. Combined with our Salesforce practice, this acquisition positions us for leadership in the fast-growing cloud-based services market," Mindtree CEO and Managing Director Krishnakumar Natarajan said in a conference call.
He added that the consideration includes an upfront payment of $37 million (nearly Rs 250.49 crore) and earn out and an additional payout of up to $13 million (nearly Rs 88.01 crore) over the next two years.
ALSO READ: Mindtree Q3 net profit up 7.2% at Rs 151 crore; recasts top management
"With the acquisition of Magnet 360, Mindtree adds more than 100 certified Salesforce experts. This will strengthen our ongoing focus on delivering customer success by helping clients digitise their entire back-end value chains," Natarajan said.
Headquartered in Minneapolis, Magnet 360 has offices in New York, Los Angeles, and Chicago. Its revenues were about $25 million (nearly Rs 169.25 crore) and its business is growing at about 20-25%. Salesforce Ventures has invested in Magnet 360 along with StarTec Investments and Gage Group.
Mindtree has been aggressively acquiring companies to expand its services. Last year, it made three purchases -- Discoverture Solutions (over Rs 92 crore), UK-based Bluefin Solutions (approximately Rs 419.6 crore) and Relational Solutions (approximately Rs 63.5 crore). Previously, it has acquired firms like 7Strata, Kyocera Wireless, and Aztecsoft.
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
 "Mindtree")
){kind=small}
){kind=small}
){kind=small}
){kind=small}
)
){kind=small}
){kind=small}
)
)
)
)
)
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}