The Nasdaq-listed Cognizant Technology Solutions acquired the Pune-based Ygyan Consulting, a SAP services provider for close to $2 million. The transaction is expected to be completed by end of February.
Ygyan, which has a revenue of approximately $3 million. is expected to provide Cognizant additional depth to its SAP practice and an opportunity to cross-sell its core services to Ygyan's client base.
Ygyan has clients in the UK, Singapore and India with most of the resources in Pune. Ygyan has been a SAP services partner since 2000, and was also recently selected as a channel partner of SAP India for mySAP All-in-One solutions, according to a Cognizant press release. Ygyan has developed pre-configured solutions for the trading and distribution industry.
"Cognizant is seeing increased demand from our customers for many SAP services, including upgrading and enhancing their SAP applications, and ongoing maintenance and support," said John Beaumont, SAP practice head at Cognizant. "The Ygyan acquisition will help us meet customer needs and increase our SAP capabilities."
Ygyan has 85, primarily offshore, consultants in the SAP practice offering the entire range of SAP services and will augment Cognizant's ability to deliver offshore application management projects, large implementation projects and SAP version upgrades.
"We are looking forward to becoming a part of Cognizant's global team," said Anant Padmanabhan, managing director of Ygyan. "There is a growing demand for all offshore services, including SAP," said Lakshmi Narayanan, CEO and President of Cognizant.
"Cognizant's strategy of making very focused 'tuck-in' acquisitions to meet specific needs has been working well," he said.
