Persistent Systems has announced its intention to acquire Munich-based Nagarro SE through a voluntary public takeover offer priced at EUR 81 per share, in a move aimed at creating a stronger global player in AI-led digital engineering and enterprise modernisation.
The all-cash offer represents a premium of approximately 140 per cent over Nagarro’s undisturbed closing share price and around 94 per cent over its three-month volume-weighted average price. Persistent has also secured an approximately 21 per cent stake in Nagarro through a binding agreement with the company’s largest shareholder, while members of Nagarro’s Management Board have expressed their intention to tender their shares.
The proposed combination will create the Persistent–Nagarro Group, with a revenue run-rate of nearly $2.9 billion and a workforce of more than 46,000 employees across North America, Europe and Asia. The combined organisation will enhance its capabilities across AI, digital engineering, cloud transformation, enterprise resource planning (ERP), customer experience (CX), and data-driven modernisation.
Commenting on the transaction, Dr Anand Deshpande, Founder, Chairman and Managing Director, Persistent Systems, said the acquisition reflects a shared vision built on complementary capabilities, a strong engineering culture, and a commitment to innovation, positioning the combined organisation to address the growing global demand for AI-driven transformation.
Sandeep Kalra, Chief Executive Officer, Persistent Systems, said the acquisition marks a significant milestone for the company and will deepen its presence in Europe, expand its footprint in North America, and strengthen its ability to support enterprises undertaking large-scale AI and digital transformation programmes.
Manas Human, Co-Founder and Chief Executive Officer, Nagarro, said the combination will provide the scale needed to deliver increasingly complex AI and intelligent transformation programmes while creating long-term value for customers, employees, and shareholders.
Following the transaction, Persistent’s revenue contribution from Europe is expected to increase from 9 per cent to 22 per cent, while the combined company will serve more than 350 enterprise customers across industries including banking, healthcare, and automotive.
The acquisition remains subject to regulatory approvals and the acceptance of at least 50 per cent plus one share of Nagarro’s outstanding shares. Persistent expects to launch the formal offer after approval from Germany’s Federal Financial Supervisory Authority (BaFin), with completion expected between the fourth quarter of 2026 and the first quarter of 2027. Upon completion, the company intends to delist Nagarro from the Frankfurt Stock Exchange while retaining the strengths, leadership, and customer relationships of both organisations.
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