Business Process Management services provider WNS said it had entered into a definitive agreement to acquire Value Edge Research Services on March 11, 2016.
Cash consideration for the transaction is $17.5 million plus adjustments for cash and working capital. Value Edge Research Services provide commercial research and analytics services to clients in the Pharma / Biopharma industry.
The acquisition of is subject to Reserve Bank of India approval and other customary closing conditions, and is expected to close in the first quarter of fiscal 2017.
WNS intends to fund the consideration with cash on hand. Based on Value Edge’s existing book of business, the acquisition is expected to contribute approximately $5 million in revenue for WNS in fiscal 2017.
The acquisition is also expected to be accretive to earnings in fiscal 2017. Value Edge currently employs over 100 people in India, the United States and Europe.
“The acquisition of Value Edge deepens our domain and specialized analytical capabilities in the growing pharma market, and provides WNS with a technology asset which is leverageable across clients and industries,” said Keshav Murugesh, WNS’ Chief Executive Officer.