WNS stock soars after Capgemini announces $3.3 billion acquisition

Published 07/07/2025, 12:12
© Reuters.

Investing.com -- WNS (NYSE:WNS) stock surged 14% after French IT services giant Capgemini (EPA:CAP) announced plans to acquire the digital business process services company for $76.50 per share in cash, representing a total value of $3.3 billion excluding net debt.

The offer price represents a 17% premium to WNS’s closing price on July 3, 2025, and a 28% premium to its 90-day average share price. The transaction, unanimously approved by the boards of both companies, is expected to close by the end of 2025, subject to WNS shareholder approval and regulatory clearances.

The acquisition aims to create a global leader in Agentic AI-powered Intelligent Operations, combining Capgemini’s technology transformation capabilities with WNS’s expertise in digital business process services. The combined entity would have generated revenue of €23.3 billion with a 13.6% operating margin in 2024.

"Organizations that have already digitized are now seeking to reimagine their operating models by embedding AI at the core—shifting from automation to autonomy," said Keshav R. Murugesh, Chief Executive Officer of WNS.

WNS has demonstrated strong financial performance with approximately 9% constant currency revenue growth over the past three fiscal years, reaching $1.27 billion in revenue for fiscal year 2025 with an 18.7% operating margin. The company serves blue-chip clients across eight industries, including United Airlines, Aviva (LON:AV), and Centrica (OTC:CPYYY).

Capgemini expects the transaction to be accretive to its normalized earnings per share by 4% before synergies in 2026 and 7% after synergies in 2027. The company anticipates revenue synergies of €100-140 million and cost synergies of €50-70 million by the end of 2027.

The French IT services provider plans to finance the acquisition through a combination of available cash and debt issuance, having secured a bridge financing of €4.0 billion.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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