Indian IT services giant Tata Consultancy Services (TCS) has acquired American management consultancy firm BridgePoint Group, gaining a wider foothold in the $1 trillion US retirement services market.
Mumbai, India-based TCS has not disclosed financial details of the deal.
Under the agreement, BridgePoint’s entire management team and key experts will join TCS, helping the Indian company ‘navigate through the complexities’ inherent in the US retirement services industry.
“The US retirement business is complex, so BridgePoint’s deep industry expertise and team of highly experienced consultants will enable TCS to develop a robust customer-focused retirement services business,” said Suresh Muthuswami, President & Global Head, BFSI Platform, TCS.
The Indian IT services provider is apparently eyeing the advisory expertise of BridgePoint rather than its clients. “Their deep customer relationships and significant industry knowledge adds to TCS’ ability to provide digital solutions,” TCS stated in a press release.
BridgePoint is believed to have employed around 150 people, but not all of them would join TCS.
In addition, the acquisition bolsters TCS’ financial and insurance verticals. American banks have long been a significant source of revenue for TCS. According to the Indian company’s own statement, eight out of ten top US banks and financial services companies are its clients.
“Our customers require access to new and innovative solutions, capitalizing on both BridgePoint’s broad understanding of the industry’s complexities and TCS’ expertise in enabling digital transformations” said Barbara March, CEO, BridgePoint.
This is the second acquisition by TCS in recent past after it purchased British digital design agency W12 Studios earlier in November.