Apax buys VC-backed IT developer GlobalLogic

The financial terms of the transaction were not disclosed, but The Times of India reported the deal as being worth $420 million.

Headquartered in the US, GL operates engineering centers in India, Argentina, China, Ukraine, and the US, while its design studios are located in San Francisco, New York, and London. The company focuses on digital media, electronics, healthcare, infrastructure, finance, retail, and telecom, with customers including Coca Cola, Oracle and Microsoft.

WestBridge is the largest investor in the company, with capital commitments made in the $12.5 million Series B round in 2006, in which NEA and NAV also participated. NAV was the sole investor in GL's Series A round. Sequoia invested in 2008 and Goldman Sachs made a pre-IPO deal in 2010.

"As the largest and an early shareholder in GlobalLogic since 2006, it has been exciting to be a part of GlobalLogic's journey to this point, and we look forward to seeing GlobalLogic continue its growth and success in the future," said Sumir Chadha, managing director of WestBridge Capital, in a statement.

"Over the past decade, we have built GlobalLogic into a 6,600 person-strong global innovation engine," GL CEO Shashank Samant said in a statement. "The decision to bring in Apax as an investor is based on continuing and growing the momentum and market share that we've gained and will allow us to significantly increase our global reach for clients in key markets."

This is Apax's second deal in India's outsourcing industry. In 2011, it backed iGate Corp to buyout Patni Computer Systems for $1.2 billion.

The GL investment is subject to customary closing conditions and is expected to be completed before the end of 2013.

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• Topics
• Buyouts
• South Asia
• Exits
• Technology
• Goldman Sachs
• WestBridge Capital Partners
• India
• Sequoia Capital
• New Enterprise Associates
• buyout
• Apax Partners