According to reports, IT engineering services provider L&T Tech Services (LTTS) signed an agreement to acquire Silicon Valley-based Intelliswift for a total consideration of $110 million.

Through this acquisition, it aims to expand its offerings across software product development, platform engineering, digital integration, data, and AI.

Amit Chadha, CEO and MD, LTTS says, “While declining to give details about the margin impact that the company might face though this acquisition.”

LTTS will add 1,500 employees, including 1,000 in India. The majority of Intelliswift's revenue comes from North America.

“Software and AI are becoming essential for the company’s clients seeking to bring new products and differentiated solutions for the consumer,” says Amit.

“The acquisition of Intelliswift strengthens our digital and software product engineering capabilities, expands strategic client partnerships with major technology spenders, boosts our presence in Silicon Valley, and advances us towards our $2 billion medium-term goal,” adds Amit.

Pareekh Jain, chief executive of engineering insight platform EIIRTrend says, “Software product engineering was a missing piece in LTTS services mix. Now LTTS will scale this and it can have a multiplier effect in software driven digital engineering opportunities in other industry verticals.”

Amit says, “We had talked about trying to pivot in our growth dimension. We’ve acquired Intelliswift, which is a $100 million revenue company based in California focused on software product development, platform engineering and AI. Fifty percent of their revenue comes from high tech and of that, 4-5 hyperscalers are their customers. The remaining 50 percent comes from fintech retail, basically doing software product development, and others.”

“This gives us two or three things. Immediately it adds 100 million to the company. It allows us to deepen the hyperscaler relationship (in three of the hyperscalers we are already present). This will jointly give us accounts that can immediately become over $20 million and can then be scaled to $50 million. Thirdly, it allows us to increase our footprint in digital engineering. At a company level, we aspire to get to $1.5 billion by March 2025, and medium term we should be able to get to $2 billion,” adds Amit.