Convergys Corp. (CVG) Is Planning On This $136M Acquisition

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In an effort to grow its footprint, Convergys Corp. is in an agreement to purchase buw for $136 million, or 123 million in Euro in cash.

The deal is expected to close in the third quarter but is still awaiting certain adjustments and regulatory approvals.

Buw is the largest owner-operated customer management company in Germany and has 16 facilities and 6,000 employees in Germany, Hungary and Romania. This would all become part of Convergys. The company generates about 150 Euro in annual revenue, which is more than $166 million.

Buw would give Convergys a complementary client base as well as German language capabilities.

Convergys CEO Andrea Ayers said in a statement, “This accretive transaction will increase our capacity to serve the customer management BPO market in Germany, further diversify our marquee client base, and strengthen our relationships with the multinational clients we share.”

“We believe buw clients will benefit from Convergys’ unique global platform for driving operational excellence, and look forward to helping our new clients maintain exceptional relationships with their customers. We are excited to welcome buw’s talented employees to our company as we continue to create value for our clients and shareholders.”

Convergys is the largest customer service provider in the U.S. with 130,000 employees who speak 58 languages housed in more than 150 locations across the globe.

Disclaimer: We have no position in Convergys Corp. (NYSE: CVG) and have not been compensated for this article.