CNXC - Concentrix buys CX digital design and engineering firm PK for $1.6 billion
As part of the transaction, Global Investment Firm Carlyle (NASDAQ:CG) funds will sell its majority stake in PK after initially investing in the Company in 2016. The acquisition brings a strong portfolio of intellectual assets and advanced CX technology, enhances CX digital transformation capabilities, and strengthens the high-growth digital IT services market. "With a complementary client base and similar vertical focus, PK provides attractive opportunities within core and adjacent markets". Concentrix (NASDAQ:CNXC) expects PK to contribute ~$530M of revenue and $85M of adjusted EBITDA in the first full year following the acquisition, reflecting 20% year-over-year growth for PK. The transaction expected to be financed primarily through additional bank debt borrowings under amended credit facility. Net leverage expected to be 2.5x at close on a TTM pro forma basis. Concentrix (CNXC) says it expects to reduce net leverage within the first twelve months after the transaction closes. The Company sees non-GAAP EPS
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Concentrix buys CX digital design and engineering firm PK for $1.6 billion