Mastek to acquire Evosys
Mastek has entered into a definitive agreement to acquire Evosys, an Oracle platinum partner with more than 1,000 customers, in a deal valued at $138m. The deal will expand the portfolio of services each company can take to market and allows Mastek to diversify its geographic concentration.
Evosys’ executive team led by co-founders Umang Nahata and Rakesh Raman will continue to work for the larger organisation. John Owen, Mastek Group CEO said: “The strategic intent is compelling for both companies. I am thrilled Umang, Rakesh and their outstanding team have accepted our invitation to combine resources under Mastek. We all see a fantastic opportunity to accelerate the digital transformation agenda for many more customers globally.”
The deal is an interesting development in the UK Oracle marketplace and is a further, and possibly final, example of significant consolidation in the UK partner eco-system. Over the last five years most of the small boutique Oracle practices have been acquired (although they were mainly focussed on legacy technology), Accenture acquired Certus – one of the forerunners in the Oracle cloud space – and now Mastek, who many ERPers may not have heard of, has acquired a business which boasts more Oracle cloud customers than any other partner.
The bigger SIs – the likes of PwC, Deloitte, and IBM – have stable and established Oracle practices, while others which used to figure including Fujitsu, Hitachi and Sopra all but seem to have disappeared from the race for new Oracle cloud customers. This all amounts to fewer options for customers when looking for a partner with only Inoapps remaining as a serious mid-range alternative.
Evosys has an excellent reputation for winning large Oracle contracts in both the public and private sectors. MGroup Services (see elsewhere in this issue of ERP Today), Birmingham City Council and a glut of London Borough Councils, to mention just a few. However, it will be imperative that Mastek leverages the experience and customer base appropriately rather than simply integrating head count and turnover. While the name Mastek may not be familiar to many in the ERP space, it has a significant portfolio of offerings in complementary digital services and it is easy to imagine how they will cultivate Evosys’ large customer base as more enterprises seek digital extensions to their core ERP systems.
Good news for Mastek and Evosys and most likely good news for existing Evosys customers that will now be able to fulfil their end to end digital needs with a full service shop under the Mastek brand.