Tata Communications is set to acquire CPaaS provider Kaleyra in a $100m deal.
Kaleyra, a global omnichannel integrated communication services provider, offers targeted personalisation through various channels such as messaging, video, push notifications, e-mail and voice-based services, and chatbots.
Kaleyra is particularly strong in banking and financial services, retail, and digital commerce industries across the globe.
A.S. Lakshminarayanan, MD and CEO of Tata Communications said: “With this investment in Kaleyra, we will accelerate our push into the customer interactions platform market and fortify our global CommTech position.
“We are excited about Kaleyra’s remarkable talent and their demonstrated capabilities in next-gen technologies.
“With this acquisition, we will further build intelligent, intuitive, and innovative multi-channel communication solutions to unlock new growth opportunities for our customers.”
Additionally, Tata Communications will benefit from Tier 1 carrier connections in the US, ready connectors to third-party platforms, and video services without the need for additional software plugins.
Tata said there’s potential to roll out Kaleyra’s tech to its vast base of enterprise customers worldwide, including 300 Fortune 500 companies, extensive mobile network operator (MNO) connections, and global expansion opportunities. Tata Communications operates in over 190 countries and territories.
According to the terms of the agreement, Tata Communications will acquire Kaleyra, Inc. through a cash-only transaction at a price per share of $7.25. This amounts to a total consideration of approximately $10om for Kaleyra shareholders, who still need to approve the deal.
The acquisition is subject to regulatory approval, with the deal expected to be completed within six to nine months.
Kaleyra’s Founder and CEO, Dario Calogero said: “This is a great day for Kaleyra and our shareholders, and our employees worldwide.
“When we launched Kaleyra 24 years ago with my co-founder Simone Fubini, I could hardly envision that our voyage would take us from a small Italian startup to global expansion, a publicly listed NYSE company, and now working together with a great technology leader like Tata Communications.”
In the full year ending on December 31, 2022, Kaleyra reported revenue of $339.2m, signifying a 26.7% increase compared to the previous year.
Earlier this year, Tata Communications launched a cloud-based calling solution called ‘JAMVEE.’ This solution aims to improve the employee experience and productivity by providing voice calling, messaging, and collaboration features. JAMVEE allows secure communication between colleagues on various desktop devices such as Android, Windows, and iOS.
