Coforge Eyes $1 Billion-Plus Acquisition; Board to Discuss Fundraise

• IT firm Coforge is in advanced talks to acquire a global digital engineering company for over $1 billion, aiming to boost cloud, data, and product engineering capabilities.
• The potential target is reportedly Encora, a California-based company backed by Advent International, known for its digital and software engineering services.
• Coforge plans to fund the acquisition through a mix of debt and equity, with its board meeting on December 26 to consider a fundraising proposal.
• This move aligns with Coforge's goal to achieve a $2 billion revenue run-rate and follows a previous fundraiser for the Cigniti Technologies acquisition.
• Despite strong FY25 performance, Coforge shares have seen a recent decline, possibly due to market speculation around the fundraising and acquisition.

Why It Matters: Coforge is pursuing a major $1B+ acquisition and fundraising to expand capabilities and reach $2B revenue.