Coforge Limited, a popular entity known as NIIT Technologies Limited, announced its acquisition of Encora. Encora is a California-based technology services company specialising in elevating advancement and innovation for businesses via its promising expertise in Cloud, Data and AI technologies. This AI-potent company is an ideal choice for this acquisition as Coforge will strengthen its position and prove its AI potential in the hi-tech and healthcare sectors.
This will also expand its footprint in the US sector for long term. For the average medium basis, the combination of the two companies will be a crucial challenge with the aim fixing on addressing synergies and talent retention.
Coforge has gripped the powerful business momentum for a few decades via inorganic and organic means. With this, the company’s revenue accelerated at a CAGR of 27% and around 24% for three to five years. Alongside this, Encora’s acquisition will allow Coforge to serve AI-based data, cloud and IT engineering solutions. These solutions will be the next profitable journey for software service providers. Encora is a smart and perfect acquisition for Coforge for the intent to stay prepared for the future possibilities, challenges, change and more.
Encora’s revenue is also expected to accelerate at a 3 year CAGR of 13% to $600 billion, which makes around 5,340 crore of profit by next year in Rupees. Coforge is analysing Rupees 7,674 crore of revenue in the first half of FY26, which implies a yearly top line of Rupees 15,348 crore. The merged entity will therefore is expected to meet the revenue of Rupees 20,688 crore for FY26. This profit will help to replace Mphasis and position Coforge as one of the largest software exporters.
This acquisition will bring profit to Encora with the financial profit gained by Coforge through Encora’s brilliant and promising technologies. The technologies in Indian Healthcare are a boon to the system and for the healthcare professionals as well. The smart skills and robust healthcare infrastructure require technologies to meet certain milestones.
With this, Coforge will be able to serve the best-in-class tech solutions to the healthcare areas and bring healthcare close to the new tech solutions to bolster the healthcare operations to meet real time need and urgency of the medical sector. Encora’s specialisation is impressive and ideal for the progress of Coforge.
Mansi Kadam is a market research writer with over 3 years of experience analyzing trends in the healthcare industry. At Towards Healthcare, she covers innovations in medical sector, sustainability initiatives, and the evolving regulatory landscape.
