Convergys will acquire Stream Global Services for $820 million in cash.
By adding Stream’s client base, geographic footprint and service capabilities, Convergys expects the acquisition to expand and strengthen its US and global presence in the $55 billion outsourced customer management services industry.
When combined, total company revenue is expected to exceed $3 billion, creating the second largest customer management services provider in the world.
“This acquisition is an important step forward in our plan for strategic growth and value creation,” said Andrea Ayers, president and CEO of Convergys.
Stream serves a number of companies in the technology, computing, telecommunications, retail, entertainment/media and financial services industries. Stream’s technical support services is expected to strengthen Convergys’ position in the technology industry and also to provide new opportunities to offer Convergys’ extensive suite of capabilities to a broader set of clients.
By integrating Stream’s delivery capacity in the Americas, Europe, Asia-Pacific, Middle East and Africa, Convergys expects to extend its geographic reach, breadth of languages and service capabilities. Stream’s in-country language skills across Europe and Latin America are expected to provide Convergys with augmented solution offerings for multinational clients in the United States and around the globe.
Once the transaction is complete, Convergys expects to have approximately 125,000 employees serving clients in 35 languages from over 135 contact centers in 25 countries.