Capgemini (Paris:CAP.pa), one of the foremost providers of consulting, technology and outsourcing services, today announced the acquisition of the German IT-Services company CS Consulting GmbH ("CS Consulting") from LRPC, a fund managed by Süd Beteiligungen (a subsidiary of Landesbank Baden-Württemberg), founder Berndt Blumenthal and Dr. Kurt Rommel.
The operation will be funded using the Group's net cash position. The contract was signed yesterday under conditional approval by the relevant anti-trust authorities. Thanks to this strategic move in Germany, Capgemini more than doubles its market share in IT services for local banking clients and accordingly strengthens its presence in a promising market.
CS Consulting was founded in 1984 and is a leading, innovative IT consultancy focusing on German banking and insurance industry. The company has a strong history of profitable growth above market average. It generated revenues of EUR 47.4m in 2009 with an adjusted EBIT margin of 12.6%. It benefits from a highly experienced team of over 400 consultants. CS Consulting specializes in the migration of core banking systems as well as the implementation of business intelligence systems. The company's client base consists of large companies, mainly within the state banks (Landesbanken) and saving banks (Sparkassen), being served for multiple years.
CS Consulting belongs to the top-25 companies of leading IT-consulting and system integration providers in Germany1.
By integrating CS Consulting to its German operations, Capgemini reinforces its footprint in a still growing and highly attractive market, as the upcoming transformation of banks will notably trigger high IT demands. Capgemini also strengthens its position as a powerful partner for banks benefiting from CS Consulting's recognized capabilities for big and complex application development and maintenance engagements.
Berndt Blumenthal, CEO of CS Consulting: "Joining Capgemini will enable us to benefit from the experience of a truly international Group with a solid delivery network, and to offer promising perspectives to our employees. We will combine our strengths to serve German banks expansion and transformation."
"The service portfolio and company culture of CS Consulting, which focuses on reliability of services, independence in terms of consulting and strong collaborative client approach, fit perfectly with Capgemini. With this step, we are giving a clear signal for the further growth of our business in Germany", explains Olivier Sevillia, Member of Capgemini Group Executive Committee.