Persistent and Nagarro sign Business Combination Agreement to form the Persistent - Nagarro Group, a global leader in AI-led digital engineering
Persistent Systems Limited has announced its intention to launch a voluntary public takeover offer for all outstanding shares of Nagarro SE at a price of EUR 81 per share. This all-cash offer represents a premium of approximately 140% compared to the closing price on June 25, 2026, and about 94% relative to the three-month volume-weighted average price.
The Management and Supervisory Boards of Nagarro have expressed their support for the offer and plan to recommend its acceptance to shareholders, emphasizing the strategic benefits of the partnership. Persistent has already acquired roughly a 21% stake in Nagarro, as the largest shareholder has committed to sell its entire stake under a binding agreement.
Members of Nagarro's Management Board have also indicated their intention to accept the offer and tender their shares. The merger aims to create a leading global entity in AI-led digital engineering, combining Persistent's North American operations and expertise with Nagarro's established presence in Europe. The combined organization is projected to employ over 46,000 people across more than 40 countries and generate approximately USD 2.9 billion in revenue.
The takeover offer is subject to a minimum acceptance requirement of 50% plus one share of Nagarro's outstanding shares. Persistent plans to launch the offer after obtaining approval for the offer document from BaFin, the German Federal Financial Supervisory Authority. Persistent does not intend to enter into a domination and/or profit and loss transfer agreement for two years following the completion of the transaction.
Both companies view this combination as a way to enhance their market positions, expand capabilities, and create value for their clients and employees. Persistent has indicated that the offer price reflects fair value for Nagarro shareholders, and the merger is expected to be accretive to Persistent's earnings per share in the first year after the deal closes.