Coforge’s Cigniti acquisition a game-changer, will be EPS accretive from day one, says CEO Sudhir Singh

economictimes.indiatimes.com:

Sudhir Singh, CEO, Coforge, says “the retail vertical of the merged entity is going to be operating almost immediately at about $100 million per annum. The healthcare and the high-tech verticals of the merged entity from day one will be operating at about 50 million US dollars, in some cases more than that as well.”
You have announced your largest ever acquisition, which is going to add about 20% to your top line, but the Street is worried that you have bitten more than you can chew with the execution risk. Help us understand the strategic rationale behind this buy.
Sudhir Singh: We think this acquisition is fundamentally a game changer for Coforge going forward. This acquisition does three important things for us. Number one, it will allow us to stand up three new industry verticals. The retail vertical of the merged entity is going to be operating almost immediately at about $100 million per annum. The healthcare and the high-tech verticals of the merged entity from day one will be operating at about 50 million US dollars, in some cases more than that as well, so that is number one.

The second thing that this acquisition does for us is it fills in the geographical blind spots that we have had across North America. Cigniti has a significant presence across the Southwest, the Midwest, and the Western US. Coforge has traditionally been very East Coast-centric. This allows us to fill in the geo-based gap areas that Coforge had. It also, of course, brings in 28 Fortune 500 new customers to us and the intent there is