First Round News Hubb
Advertisement Banner
  • Home
  • First Round News
  • Funding News
  • Contact
No Result
View All Result
  • Home
  • First Round News
  • Funding News
  • Contact
No Result
View All Result
First Round News Hubb
No Result
View All Result
Home First Round News

The Capital Quest | Marathon Edge-backed KPIT Technologies strikes over $100-mn deal

admin by admin
September 21, 2022
in First Round News


KPIT Technologies, a software integration partner for the automotive and mobility industry, said Wednesday it is acquiring Munich-headquartered Technica Engineering.

Technica specializes in production-ready system prototyping (a combination of network system architecture, hardware prototyping, integration), automotive ethernet products, and tools for validation. Apart from Munich, it has a presence in Spain, Tunisia, and the USA, with a team of more than 600 engineers.

The deal is expected to be closed by the end of next month and will be EPS accretive upon consolidation, KPIT said.

KPIT said it will pay €80 million ($79.3 million) over the next six months and an additional milestone-linked amount that could be up to €30 million ($29.7 million) to be paid by March 2025.

The target company had consolidated revenue of €43 million with 20% EBITDA margin last year.

“The mobility industry is using software to drive innovation and is creating a post-vehicle sale business model driven by delivering services to end consumers. We are constantly looking for possibilities to help accelerate our client’s vision,” said Kishor Patil, co-founder, CEO and MD of KPIT Technologies.

“With Technica Engineering, we will strengthen the value and scale of operations across the stack. We have common strategic clients who will benefit, and we also get access to leading disruptor mobility tech companies,” Patil said.

KPIT, which counts private equity-style investor Marathon Edge as a shareholder with a 1.48% stake, has engineering centres in Europe, the USA, Japan, China, Thailand and India. It has seen its revenues almost quadruple and its net profit grow five times over the last three years. The company’s share price rose six-fold in the last two years alone.

The latest acquisition made sure the stock was buzzing today even as the benchmark stock indices fell around 0.5%.

KPIT Technologies ended the day up nearly 4% after it announced the acquisition, which would likely add 10-15% to its annual topline and bottomline numbers hereafter.

Related



Source link

Previous Post

Adstra adds CTV and Identity Veteran James Hsu as VP

Next Post

Contently Names Dawn DiLorenzo as New Head of Marketing

Next Post

Contently Names Dawn DiLorenzo as New Head of Marketing

Recommended

TreviPay Welcomes Allen Bonde as Chief Marketing Officer

2 weeks ago

The Capital Quest | Israeli startups Kubiya, Tensorleap raise seed funding

3 months ago

Zipari Names Tabatha Erck as Next Chief Executive

4 months ago

Satori Data Security Platform Awarded Two Badges in G2’s

3 months ago

Anaphite raises £4.1M for its graphene technology used by EV batteries

5 months ago

Agora, Inc. Announces Changes to Board of Directors

1 month ago

first-round-white

© 2022 First Round News Hubb All rights reserved.

Use of these names, logos, and brands does not imply endorsement unless specified. By using this site, you agree to the Privacy Policy and Terms & Conditions.

Navigate Site

  • Home
  • First Round News
  • Funding News
  • Contact

Newsletter Sign Up.

No Result
View All Result
  • Home
  • First Round News
  • Funding News
  • Contact

© 2022 First Round News Hubb All rights reserved.