Introduction

Despite the uncertain business environment, global service providers continue to invest in their inorganic expansion. Mergers and acquisitions (M&A) continue to get the attention of service providers to meet long term strategic objectives such as augmenting service or technology offerings, expanding to other geographies, acquiring industry-specific skills, and adding to their delivery network

This annual report on M&A in global services by Everest Group analyzes the key trends underlying various M&A deals. These trends are divided into geographies, acquisition segmentation based on acquirers or targets, next generation service flavor, MNC versus offshore providers, etc.

Scope

• Overview of M&A deals in IT service and BPO segments
• Analysis of M&A deals include:
• Key acquisition drivers
• Deal size and valuation trends
• Specific focus on key offerings, target type, geography, etc.
• Preference for acquiring certain assets
• Financial analysis of M&A deals
• Insights on M&A landscape in 2012

Contents

This research piece analyzes various M&A activities undertaken by major service providers. It provides an in-depth insight into the deal size, valuation, area of acquisition, next generation service theme, geographical focus, etc. The research also covers the key parameters and their impact that will drive the M&A landscape in 2012.

For example the second section on acquisition trends discusses various aspects of mergers and acquisitions such as

• Acquisition strategy and focus of MNC and offshore providers
• Key focus area of acquisitions based on target type (e.g., IT service, BPO, technology, and consulting)
• It also analyzes the geography based activities across various acquirers covering North America, EMEA, UK, APAC, and India
• The section dives deep into the main drivers, termed as, “acquisition themes” that form the core basis of any acquisition
• Six main acquisition themes are analyzed in terms of trends in acquisition, typical deal size, geography, etc.