Cognizant acquires Cadient to strengthen its healthcare portfolio
According to a press release issued Tuesday, Oct. 7, multinational IT corporation Cognizant Technology Solutions has acquired Cadient Group in an estimated $30 million deal. This technology acquisition by Cognizant is its third this year — the corporation acquired itaas Interactive TV Solutions in April and TriZetto Corp in September. Cognizant, which is based out of Teaneck, New Jersey, specializes in providing "information technology, consulting, and business process outsourcing services," and is "dedicated to helping the world's leading companies build stronger businesses," according the aforementioned press release.
Both TriZetto and Cadient Group's strengths lie in offering healthcare IT solutions, which signals that Cognizant is looking to increase its presence in the healthcare industry, as 26 percent of the corporation's revenue — approximately $2.5 billion of a total of $9.6 billion — was generated by healthcare services in the June quarter, according to the release.
Cadient brings to the table a strong foothold in a variety of healthcare-industry markets, including medical devices, pharmaceuticals and healthcare systems, among others. The release also states that the acquisition of Cadient "strengthens and expands Cognizant's digital marketing capabilities, enabling brand marketing leaders to transform the way they position their offerings in the digital landscape as they…create a compelling customer experience."
This acquisition underscores the benefits of acquiring a competitor or a company with a strong presence in an adjacent market. Over 100 digital specialists from Cadient have been acqui-hired by Cognizant as a result of this deal, which the corporation hopes will expand its ability to develop interactive technologies and contribute significantly to its collection of digital assets.
If your business is looking to acquire — or be acquired by — a similar tech company, an experienced M&A advisor can help guide you through the process.