In a strategic move to bolster its presence in Europe, leading IT firm Infosys has unveiled its acquisition of in-tech, a distinguished engineering R&D services provider specializing in the German automotive industry. The €450 million all-cash deal signifies Infosys’ commitment to fortifying its foothold in the European market and advancing its capabilities in crucial sectors.
Headquartered in Germany, in-tech stands out as one of the rapidly expanding engineering R&D service providers, pivotal in propelling digitization across automotive, rail transport, and smart industry domains. The company’s focus on cutting-edge areas such as e-mobility, connected and autonomous driving, electric vehicles (EVs), off-road vehicles, and railroad solutions underscores its significance in the automotive landscape.
Infosys views this acquisition as a strategic synergy, poised to catalyze the next wave of automotive innovation, particularly in software-defined vehicles. By integrating in-tech’s expertise with Infosys Topaz, an AI-driven suite of services, solutions, and platforms, as well as the recently acquired InSemi semiconductor’s capabilities, Infosys aims to deepen its competencies and deliver enhanced value to its clientele.
Dinesh Rao, Executive Vice President and Co-Delivery Head at Infosys, expressed enthusiasm about the collaboration, stating, “Together with in-tech, we have successfully created deeper capabilities for the next phase of automotive innovation. We are excited to welcome in-tech and its leadership team into the Infosys family.”
The sentiment was echoed by Tobias Wagner, CEO of in-tech, who emphasized the comprehensive coverage of the end-to-end process resulting from the merger. Wagner highlighted the significance of access to additional talent and expertise, emphasizing the newfound strength and scalability in delivery capabilities to undertake more ambitious projects.
The acquisition is expected to be finalized in the first half of the financial year 2025, subject to customary closing conditions and regulatory approvals. Infosys has already secured approvals from regulatory authorities in Germany, Romania, Austria, India, and other pertinent jurisdictions.
In tandem with the acquisition announcement, Infosys disclosed its financial results for the fiscal year 2023-24 (FY24). The company reported a notable increase in net profit, rising by 8.9% to Rs 26,233 crore compared to Rs 24,095 crore recorded in FY23. Additionally, Infosys witnessed a 4.7% surge in annual income from operations, reaching Rs 1,53,670 crore in FY24 from Rs 1,46,767 crore in FY23.
This strategic acquisition not only underlines Infosys’ commitment to fostering innovation and expanding its global footprint but also positions the company for sustained growth and leadership in the evolving automotive technology landscape. With a strengthened presence in Europe and bolstered capabilities in critical sectors, Infosys is poised to drive transformative change and deliver unparalleled value to its stakeholders.
