Hitachi to acquire GlobalLogic for 9.6 billion



Hitachi to acquire GlobalLogic for 9.6 billion
Japan's Hitachi on Wednesday said that it will acquire US-headquartered digital engineering services company GlobalLogic for $9.6 billion.
Hitachi said the acquisition will help the company expand digital operations in a number of businesses, including IT, energy, industry and mobility.
It will accelerate the advanced digital transformation of social infrastructure such as rail, energy, and healthcare at a global scale, the company said.
The transaction is subject to customary conditions and regulatory approvals and expected to be completed by the end of July 2021.
Through the acquisition, Hitachi expects the addition of GlobalLogic's advanced digital engineering capabilities, and its solid client base including major technology companies, to strengthen the digital portfolio of "Lumada."
Lumada is the name of Hitachi's advanced digital solutions and services for turning data into insights that drive digital transformation of social infrastructure.
"The acquisition of GlobalLogic creates an exciting new opportunity for Hitachi to expand our offerings of Lumada solutions and services, provide value to customers in their digital transformation journey, and grow our Lumada business globally," Hitachi President & CEO Toshiaki Higashihara said in a statement.
"The synergy of GlobalLogic's leading experience design and innovation with Hitachi's expertise in IT, operational technology, and products, will help us realise our goal to be the leading digital transformation innovator in social infrastructure worldwide."
Headquartered in Silicon Valley, GlobalLogic is a leading company in the fast-growing digital engineering services market. 
With over 20,000 professionals in 14 countries, it operates design studios and software product engineering centres around the world.
GlobalLogic has deep "chip-to-cloud" advanced software product engineering technology as well as experience design skills and vertical industry expertise. 
 
Source: IANS