Wipro to acquire IT consulting firm Applied Value Technologies for $40 million

Wipro is set to acquire Massachusetts-headquartered IT services consulting firm Applied Value Technologies (AVT) for $40 million to augment its existing application services capabilities, coming at a time when the IT services major is in the midst of its business turnaround.

The all-cash transaction is expected to be completed by December 31, 2024, according to regulatory filings on BSE.

“AVT helps enterprises transform IT operations through a highly customized and data-driven approach. AVT will augment Wipro’s existing application services capabilities, helping drive new growth opportunities,” Wipro said in the filing.

Purchase consideration of up to $40 million will be subject to customary closing adjustments as per terms of the purchase agreement. “The purchase consideration includes a deferred consideration in the form of earn out, payable subject to achievement of certain performance metrics / conditions.”