Outcome of Board Meeting - Acquisition
CYIENT · price
▲ positive · ▼ negative · ● neutral filings · teal = economic event · numbered = multiple that day (click to pick). Times IST.
Cyient Limited has entered into a definitive agreement to acquire 100% stake in Tao Digital Solutions Inc., a US-incorporated global digital engineering firm, for an enterprise value of US$ 218 million (~9.5x CY27E EBITDA), funded via cash with upfront and earnout components. Tao Digital specialises in data platforms, AI-enabled solutions, and cloud services, serving marquee clients across Automotive, Hi-Tech, and HealthTech sectors. The target has ~3,500 employees and demonstrated strong revenue growth from USD 19.7 million in CY2023 to USD 79.1 million in CY2025. The transaction also includes acquisition of eight group entities across Canada, India, Taiwan, Greece, Germany, Czech Republic, Australia, and New Zealand. Completion is targeted by September 30, 2026, subject to customary regulatory approvals. The deal is not a related party transaction.
The acquisition strengthens Cyient's Intelligent Engineering proposition by adding production-grade AI and data engineering capabilities, which could be positive for long-term growth and market positioning. The ~9.5x EBITDA multiple appears reasonable for a high-growth digital services firm, but integration execution will be key.