Wipro, one of the leading IT companies in India, has announced the acquisition of Aggne Global Inc, a US-based IT consulting and managed services firm, and its subsidiary, Aggne Global IT Services Pvt Ltd, based in Hyderabad. The deal is valued at Rs 548 crore, and will help Wipro enhance its capabilities and offerings in the property and casualty insurance sector.
Wipro to own 60% stake in Aggne Global initially
Wipro has signed a definitive agreement to acquire Aggne Global, which was founded in 2019 and specializes in providing solutions and services for the property and casualty insurance industry. The solutions offered by Aggne Global are integrated with the Duck Creek platform, a leading software provider for the insurance sector. Aggne Global has over 300 employees and serves clients across the US, Canada, and India.
According to the agreement, Wipro will initially own a 60% stake in Aggne Global, and will have the option to acquire the remaining 40% stake over a period of time, based on certain performance parameters. The deal is expected to close by March 31, 2024, subject to customary closing conditions and regulatory approvals.
Wipro to leverage Aggne Global’s Swift IPs and Duck Creek expertise
Wipro, which has a strong presence and experience in the insurance domain, will leverage Aggne Global’s Swift IPs and Duck Creek expertise to enhance its offerings and solutions for the property and casualty insurance sector. Swift IPs are pre-built solutions that enable faster and easier implementation of Duck Creek software for insurance companies and Insurtech firms.
Wipro will also benefit from Aggne Global’s talent pool, client base, and geographic presence, and will be able to offer end-to-end services and solutions for the insurance industry, covering consulting, implementation, testing, maintenance, and support.
Wipro said in a statement, “Through the acquisition of Aggne, Wipro will integrate Aggne’s Swift IPs with our existing portfolio of products and services, establishing ourselves as a comprehensive player in the property and casualty insurance sector. This acquisition will also strengthen our position as a preferred partner for Duck Creek and expand our footprint in North America and India.”
Wipro to boost its growth and profitability in the insurance sector
Wipro, which reported a revenue of Rs 19,475 crore and a net profit of Rs 3,243 crore for the quarter ended December 31, 2023, has been focusing on growing its digital and cloud business, and expanding its presence in new markets and domains. The acquisition of Aggne Global is part of Wipro’s strategy to boost its growth and profitability in the insurance sector, which is one of its key verticals, accounting for 14.4% of its revenue in the last quarter.
The insurance sector is undergoing a digital transformation, driven by changing customer expectations, regulatory requirements, and competitive pressures. Wipro, with its deep domain expertise, innovative solutions, and strategic partnerships, is well-positioned to help insurance companies and Insurtech firms navigate the digital journey and achieve their business goals.
Wipro is one of the leading IT companies in India, that has announced the acquisition of Aggne Global, a US-based IT consulting and managed services firm, and its subsidiary, Aggne Global IT Services, based in Hyderabad. The deal is valued at Rs 548 crore, and will help Wipro enhance its capabilities and offerings in the property and casualty insurance sector.
