Affiliated Computer Services, Inc., (NYSE: ACS), a premier provider of business process and information technology outsourcing solutions, announced today that it has acquired LiveBridge, Inc., a customer care service provider primarily serving the financial and telecommunications industries.
The terms of the acquisition specify a purchase price of $32 million, plus contingent payments based on future financial performance. ACS funded the acquisition through cash on hand.
Already a leading provider of business process outsourcing (BPO) solutions, ACS will expand its customer care service offerings in the finance and telecommunications industries through this acquisition. By adding LiveBridge's operational centers in Canada, India, and Argentina, ACS will extend its global capabilities and expand operations in those countries. ACS will also gain cross-sell opportunities with existing LiveBridge clients.
"The overall market for customer care services is expected to grow significantly for the next several years," said Lynn Blodgett, Group President of ACS Commercial Solutions. "This acquisition creates excellent opportunities for ACS, both by broadening our customer care capabilities, expanding our customer care global capabilities to include Canada and Argentina, and by establishing new avenues for expanding our BPO business. LiveBridge has done an outstanding job of executing global call center outsourcing initiatives and differentiating its business in the telecommunications and financial arenas. These qualities will strengthen and diversify ACS' position and ability to expand in the BPO market."
Blodgett says that LiveBridge brings access to several new FORTUNE 500 clients to whom a wide range of ACS' customized BPO solutions can now be offered. He also lauded LiveBridge's experienced management and customer care teams, known for their expertise and enthusiasm, and said that they will be an excellent complement to ACS' customer care operations.
Established in 1998, LiveBridge is a global customer interaction services company, maintaining numerous contact centers worldwide with a diverse, multilingual workforce. LiveBridge provides inbound and outbound calling and customer care services with specific expertise in the financial and telecommunications industries. The company's primary service offerings are inbound customer care and sales, in addition to a smaller strategic outbound call center operation.
LiveBridge reported revenues of $89.6 million for calendar year 2004, a growth of 19% over 2003. As a result of this acquisition, ACS will expand its customer care capabilities in Portland, Oregon, and add processing capabilities in Canada, Argentina, and India. In addition, more than 3,000 employees will become part of ACS.